Types of Business Entities in Florida
Incorporating a business in Florida will provide you with many advantages. The costs of doing business are low from a governmental and regulatory viewpoint. A business corporation is required to be registered in the State of Florida to “do business.” This means that a corporation from another state or country must be registered to carry a true business relationship in Florida. Doing business means more than simply visiting to take orders but it means that any business that rents an office or employ Florida people in the State must be registered.
The cost of registering with the State is virtually the same as having a Florida corporation. It also prevents the corporation from being subjected to daily fines for failing to register. There is several types of business corporations available to the public. Some of them are more suited to your present needs than others.
• Corporation: either a U.S. subsidiary or a U.S. branch of a non-U.S. corporation.
• Limited Liability Company (LLC).
• Partnership: general, limited or limited liability partnership.
Whether you are starting a business, forming a partnership, or wanting to take your company to the next level, Boyer Law Firm can help you explore your business options. By retaining our services, you can protect yourself from unnecessary liabilities while obtaining the essential advice and representation you need to form or grow a successful business in Florida in a number of areas, including:
• Sole Proprietorships
• Partnerships
• Limited Partnerships
• General Partnerships
• Joint Ventures
• S Corporations
• C Corporations
• Limited Liability Corporations
If you conduct business in Florida, you must either incorporate in Florida or register your non-Florida corporation to do business in the State. The yearly fees to maintain either one are the same.
Advantages of Corporations
The shareholders of a corporation are not personally liable for the debts and obligations the corporation, subject to a few exceptions. According to Fla. Stat. 79.274, the usury rate is the same for a corporation or an individual borrower.
• Perpetual existence, so the corporation continues even if an owner dies or leaves the business
• No limit to the number of C Corporation shareholders, who need not be U.S. citizens or permanent residents Corporations are subjected to the Federal income taxes and state income taxes. Dividends paid by a corporation are taxable to the shareholders as ordinary income. Then are this earnings being taxed as corporate income, the dividends are taxed again as the personal income of the shareholder.
• A single individual can incorporate.
• However, most small businesses can qualify for a status allowing the profits or losses to flow directly to the shareholders without being subject to double taxation.
Every Florida and non-Florida corporation must be registered to do business in Florida. Every corporation doing business in Florida must have a registered agent able to relay notice of lawsuits and other administrative actions. An attorney can be such an agent.
Penalties for not registering are a prohibition to bring a lawsuit in Florida, and assessment of fines. However, the corporation can be sued in a Florida court.
In addition, a non-Florida corporation is liable to the State in an amount equal to all fees and taxes that would have been imposed for the years in which it failed to register. Additionally, a daily fine is assessed against the non-Florida corporation.
CONTACT THE OFFICE TO REGISTER US AS YOUR REGISTERED AGENT>>>
Special rules apply to individuals licensed in a profession that is not allowed to incorporate under Florida’s general corporations law.
• Architects
• Certified Public Accountants
• Medical doctors
• Dentists
• Life insurance agents
• And a few more
CONTACT US TO FORM A PROFESSIONAL CORPORATION NOW>>>
Get Florida Business Licenses
Before your business can legally begin to operate, you must satisfy its license, permit, and tax registration requirements. Almost all state, county, and local governments require businesses to obtain one or more licenses and permits. Additionally, selling taxable goods and services or hiring employees requires that you register with tax authorities. All business license, permit, and tax registration requirements vary by your industry and location.
Examples of possible licenses required in Florida:
• Rental Property Tax License
• Travel Agency License
• Watercraft License
Get a Florida DBA (“Doing Business As” or “Trading As”)
If your business operates under an alternate name, it must register its “Doing Business As” (DBA) name with the appropriate state, county, city, or town government. For example, William Burr might register “Burr Flooring” as a DBA. Likewise, “Mary’s Cookin’, Inc.” might register the DBA, “Mary’s Finger Lickin’ Catering.”
Corporations and LLCs often file DBAs to market a separate product or service. Some government offices refer to a DBA as a “trade name,” “assumed name,” or “fictitious name.” In any case, a DBA name allows your business to operate under a name other than its legal name.
Remember that the State of Florida has no Personal Income Tax.
• Florida S corporations are not taxable entities.
• Florida S corporations are not required to file state income tax returns.
• Shareholders, Officers and Directors DO NOT have to be listed.
• No minimum capital requirements.
• Complete Privacy regarding who owns or runs the corporation.
