Business Structure Consultants
As professional business structure consultants, Chandler & Knowles CPAs can help you through the initial structuring of a business or help you change the structure of your current business. Your business structure determines the way your business is taxed, and the type of corporate structure you choose can bring both financial benefits and disadvantages. Our consultants can help you decide which type of corporate structuring will provide the most benefits and result in the least amount of disadvantages or tax liabilities to you and your company.
Choosing Your Business Structure
Types of business structures or entities include:
- Sole Proprietorship
- Limited Liability Company (LLC)
- C Corporation
- S Corporation
Read more about entity selection and learn the different types of corporate entities and their benefits.
Common Changes in Business Structure
Changes in your corporate structure are often needed with growth and after a buyout, merger or change in ownership. Adding or eliminating a partner is a common occurrence that can require a change in tax structure. Here are some common changes in business structuring that we help our clients through:
Going from a C Corporation to an S Corporation:
We often advise and help clients through the process of changing from a C Corporation to an S Corporation to avoid double taxation. C Corporations pay taxes on their profits, and the owners or stakeholders of the company must also pay taxes for their earnings from the business on their personal tax returns. Owners and shareholders of S Corporations only pay taxes on their income reported on their individual tax returns.
Going from an LLC to a Corporation:
Owners of LLCs may want to become corporations as they grow. There are a number of reasons to do this, two of which are to attract investors and to share equity. The process involved in making this switch varies by state. In some states a corporation must be formed in addition to the LLC in order for the change to be made. In Texas, an LLC can be converted directly into a corporation. There are also one-time tax consequences as a result of this conversion that we help our clients work through.
Going from a Partnership to an LLC:
This is similar to going from a sole proprietorship to an LLC. Business partners decide to form an LLC for the same reasons an individual might: the owners aren’t personally responsible for debt and other liabilities the company may incur, the company will survive the death of either of the partners, and the partners can avoid double taxation.
These are just a few of the possible scenarios for changing a corporate structure. If your business is still in the idea phase, or if your company is experiencing a change in ownership, growth or suffering from financial or tax burdens, the consultants at Chandler & Knowles CPAs are happy to discuss corporate structuring with you and help you determine the best business structure to move ahead with as much financial and tax benefit as possible.
Speak with a Professional Business Structure Consultant Today
Contact Chandler & Knowles CPAs today by filling out our form or calling us at 817-430-3000, we’d be happy to meet with you in one of our two offices in Flower Mound or Addison, TX to discuss the best type of corporate structure for your business and help maximize your income.
Spread the Word:
"I recommend Chandler & Knowles CPA's without hesitation, and we look forward to working with Rochelle, Kristy and the rest of the C&K staff for another 7 years and beyond!"
~ Tony Rex, CEO of Medical Experts of Texas, P.A./Premier Inpatient Management Services, LLC
They are a great company to trust with all of your tax needs. They are good people and I enjoy my relationship with them. And it truly is a relationship, not just a service I use once a year.
~ Rick Schenck, UPS Business Owner
Great people. Effective. Efficient. Competent. Unlikely you would find a better, or even equal, CPA firm in the DFW Metroplex, and likely in the State.
~ Todd Benton
"The staff at Chandler & Knowles CPAs could not be better! They are always friendly, accommodating, and efficient. Their quick return/response time is greatly appreciated, as customer service is an uncommon practice during this day and time."
~ Tracy Richards
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