What Does Incorporating Your Business Mean?
There are incorporation laws and protocols that must be legally satisfied during your business incorporation. Kochhar & Co. Chartered Professional Accountants in Penticton understand the details and can help you choose which option will be the most beneficial for your business. We are happy to offer our expertise to Okanagan business owners seeking incorporation services.
Why Should I Incorporate My Business?
Incorporating your business is one of the top strategies recommended to help you attain your business goals. It offers a form of protection for you and your company.
If you decide not to incorporate, you may be held personally liable for any legal issues or business debts. Our dedicated team can explain the various benefits of incorporation. We are happy to answer all your concerns and questions along the way.
Professional Corporations
In some job descriptions, professional organization members allow their counterparts to register ventures under the "Professional Corporation," title. This type of corporation operates close to other kinds although it is restricted to specific professional occupations including pharmacists, lawyers, dentists, doctors, etc.
What Are the Benefits of Incorporation?
Incorporation comes with some important benefits. including liability protection, income splitting opportunities if you are over 65 years of age, being useful for succession planning and much more.
What Is Limited Liability?
Once a business becomes incorporated, the liability of the owner is limited to the amount of their business investments. This is different from partnerships and sole proprietorship which enables the owner to assume all liability for the business.
Tax Savings
Once a business becomes incorporated, it may take advantage of reduced rates on its corporate income tax. Compared to individual tax rates, these are much more attractive and can lead to increased savings which can positively impact the company's operations and growth. Another option that becomes eligible is income splitting between family members. Incorporated businesses have a variety of options to help them realize tax savings.
It Is Easier to Raise Capital
Businesses can rely on equity financing to help them borrow funds and raise capital. To be successful, this option depends on selling shares to venture capitalists or angel investors.
The Continuation of the Company
The incorporated business will continue its operations in the event some of the shareholders leave the business or pass away. The operation remains continuous even if the ownership of the business changes hands.
Why Choose Kochhar and Co. Is An Excellent Choice To Incorporate Your Business:
• We advise on your business tax obligations
• We act as a business advisor and can generate solutions to any business issues
• We discuss tax planning strategies that will reduce your taxes
• We can outline and discuss your business bylaws
• We can complete your year-end tax filing and bookkeeping requirements
• We are happy to set up all necessary accounts including Payroll, GST/HST, WorkSafeBC, your Business Number, etc.
• We provide CRA advice regarding best practices for managing your books and records
• Our team can define the share structure to help you accommodate future growth
• We can assist when you need to hire new employees
Contact our friendly and professional Penticton team today to get started. We look forward to working with you and helping you grow your business.