adam32 Posted February 21, 2008 Report Share Posted February 21, 2008 What are the pro and cons of an LLC compared to being Incorporated? Quote Link to comment Share on other sites More sharing options...
HelliBoy Posted February 21, 2008 Report Share Posted February 21, 2008 That question would best be answered by your lawyer, since they'll be setting it up anyways and will know your circumstances and assets. You get what you pay for with legal advice, especially online. Use an aviation lawyer. That being said I went for the LLC for tax and liability reasons. One helicopter part 91 operation. Quote Link to comment Share on other sites More sharing options...
apiaguy Posted February 21, 2008 Report Share Posted February 21, 2008 funny... LLC = Limited Liability Corporation So that is "incorporated" What you want to set up as mostly comes down to how much money you plan to make....If you are starting small.... no real need to do anything.... operate as a sole proprieter. As you increase assets or $$ you can change if you want.A LLC is a "cheap" way to incorporate for small companies (usually less than 1 million gross) There are some tax benefits but in reality it is pretty much the same guidelines as a sole proprieter. (except if you have more than one owner that is when you want to utilize it)A larger "corporation" can have further tax benefits and penalties.... People will cite that a corporation/S-corp/LLC can "shield" you from liability..... well kinda... in this world of sue everybody or sue everybody with money.... not much is protected. Quote Link to comment Share on other sites More sharing options...
HeloJunkie Posted February 21, 2008 Report Share Posted February 21, 2008 (edited) funny... LLC = Limited Liability Corporation So that is "incorporated"Hey Apiaguy - I am pretty sure that LLC means Limited Liability Company (at least in California) and my LLC is actually taxed as a partnership, not a corporation. I set up an LLC for my helicopter, but as someone suggested, you really should consult an aviation attorney. My attorneys have helped me purchase 5 different aircraft (new and used) over the years and getting advice from someone with experience will save you a lot f trouble down the road. I would also chat with a good aviation tax professional at the same time since the questions about Corp vs. LLC has a lot to do (at least in my case) with how I wanted to handle the taxes and loss issues. Edited February 22, 2008 by HeloJunkie Quote Link to comment Share on other sites More sharing options...
apiaguy Posted February 22, 2008 Report Share Posted February 22, 2008 You're right.... my bad http://en.wikipedia.org/wiki/Limited_liability_company has some pros and cons listed. Quote Link to comment Share on other sites More sharing options...
adam32 Posted February 22, 2008 Author Report Share Posted February 22, 2008 You guys had me confused for a second on the LLC's . I'm going to talk with my accountant next week to see. I'm thinking a corporation would be better. Quote Link to comment Share on other sites More sharing options...
HeloJunkie Posted February 23, 2008 Report Share Posted February 23, 2008 You guys had me confused for a second on the LLC's . I'm going to talk with my accountant next week to see. I'm thinking a corporation would be better. Hey Adam32 - You might want to give "Aero and Marine Tax Professionals" a call. I have used them several times in the past with purchases (including the new R44 I just purchased) and they are extremely open with information even if you do not engage them to help you with your purchase. They might not have any good info for you, but I bet its worth a call. http://www.aeromarinetaxpros.com/ Cheers Quote Link to comment Share on other sites More sharing options...
adam32 Posted February 23, 2008 Author Report Share Posted February 23, 2008 Thanks HeloJunkie, I have them bookmarked for when the time comes. Quote Link to comment Share on other sites More sharing options...
HeloJunkie Posted February 23, 2008 Report Share Posted February 23, 2008 Thanks HeloJunkie, I have them bookmarked for when the time comes. No problem - Good luck with everything!! Quote Link to comment Share on other sites More sharing options...
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