I am looking into starting an LLC for consulting work and some angel investments. This is my first time doing both and would love your advice on how to go about setting the LLC up and if it’s even worth having?
@trang0714 Legalzoom is good also for setting everything up. Best to meet with an accountant to discuss the different tax structures. Llc sole prop you pay taxes on all net income from the business. If you do a S corp election you have to pay yourself a salary then the company pays income tax on the net income.
@trang0714 If you don't want to figure out all the forms yourself, just use a service like incfile.com. There is obviously a small markup compared to doing it yourself but it really makes it easy. Depending on how much income you can be generating, it is advantageous to setup a LLC and perhaps an S-election. Definitely talk to a tax professional/CPA since everyone's situation is different. If you're only going to be pulling in small amounts like 20-30K, 1099 would probably be best but large amounts like 75K+, a LLC with S-election would probably make sense. Again, talk to a tax professional.
