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4 Replies Last post: Jul 6, 2009 2:45 AM by vavkus

Which type of business entity should I choose for IT com.?

Jul 1, 2009 2:30 AM

Click to view vavkus's profile Start-up vavkus 2 posts since
Jun 30, 2009
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Hello,

One year ago I won a green card, and now I'm in the USA. I would like to open a company here and start to
make money and pay taxes.

Before addressing some questions I would like you to have
some background information about the project I would like to execute:

I intend to establish an IT (WEB BASED) company. The company
will have two owners, my friend, who is not a US resident, and me. The company
will create web sites and applications, will do server monitoring and e-Shop testing.
We want to open a branch of it in Armenia and outsource the part of the job: In
Armenia there are many high qualified technicians who do a similar job for
famous European and US companies.

Now I would like to address you some questions and will be very
thankful if you could help me with some advice.

1.
First of all I would like you to help me in
sampling of the type of business entity (Corp. or LLC). As I understood from the US Government sites
and other forums the C-Corp type would better answer to our company, but I am
not sure.

2.
Currently I live in Utah. What could you advise
me, is Utah a good place for business registration and what do you think, is
Utah hard from the aspect of taxes? I read somewhere that Wyoming is more flexible
and soft for business beginners. What would you suggest me, where it would be
better to register the company?

3.
Is there any law regarding the affiliate company?

4.
Are there any obstacles for opening an affiliate
company?

Thank you very much for your time and efforts. In the beginning the company will be very
small, and unfortunately there will be no fund for hiring a lawyer.

I would appreciate very much if you could help me in making
first steps to success.

Many thanks in advance!

Kind Regards,

Arman.
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Click to view david_aa's profile Mogul david_aa 41 posts since
Jul 1, 2009
1. Re: Which type of business entity should I choose for IT com.? Jul 1, 2009 10:33 AM
Hello Vavkus! According to Small Business and Entrepreneurship Council report on the Best and the Worst Tax Systems for business, South Dakota has the best tax system and
the District of Columbia has the worst.

Since 90% of businesses file their taxes as personal rather
corporate, they ranked states in this way also. Alaska ranked best and
California ranked worst. Regarding capital gains tax, it was the same.
Regarding corporate tax rates, Nevada ranked best and Pennsylvania
ranked worst.
Click to view RanksIntl's profile Mogul RanksIntl 93 posts since
May 28, 2009
2. Re: Which type of business entity should I choose for IT com.? Jul 1, 2009 11:17 PM
Hello!

I can help you go through all of the detail of choosing an entity, it is a lot more than you will be able to decide through a forum and I can register the business for you once you have decided. If you are interested email me at the address in my profile.

Renee`
Click to view hconnections's profile Authority hconnections 15 posts since
Jul 3, 2009
3. Re: Which type of business entity should I choose for IT com.? Jul 5, 2009 12:11 PM
Hi vavkus,

Here's an article on bankrate.com that you might find useful. It discusses the advantages and disadvantages of the different business structures. http://tinyurl.com/odnv4p

--
Ktasha, your personal tax partner
www.hardgeconnections.com
Want to start an internet based business? www.gcvacations.info
Click to view vavkus's profile Start-up vavkus 2 posts since
Jun 30, 2009
4. Re: Which type of business entity should I choose for IT com Jul 6, 2009 2:45 AM
Thank you very much.

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