Garrett Sutton, Esq. is a corporate attorney and is the author of “Own Your Own Corporation” and other titles in the Rich Dad Advisor series. His firm forms and maintains corporations, LLCs and other entities and may be reached at http://www.corporatedirect.com. To get a FREE copy of Garrett’s book, “What to Know Before you Incorporate” log onto www.corporatedirect.com
The Benefits of Corporate Protection
By Garrett Sutton, Esq.
Are you protected? Are your assets segregated? Are you saving on taxes?
All of these questions can be answered "Yes" when you use the right mix of protective entities – corporations and LLCs.
As you probably know – doing business in your own name as a sole proprietor (or worse yet, as a general partnership) offers no asset protection. One claim and everything you own – not only your business assets but your personal assets as well – are exposed.
Using corporations and LLCs can protect your personal assets from creditor claims. And provide you with peace of mind.
The right use of entities can also save you on taxes, particularly on payroll taxes. Work with a good CPA and you will see the savings immediately. And remember, sole proprietors are audited at a five times greater rate than corporations and LLCs.
You can also use more than one entity for even greater protection. If your business is a corporation you may want to set up a separate LLC to hold your equipment. By segregating assets greater asset protection is gained.
For example, if your business corporation gets sued a judgment creditor could reach inside the business. But what if the valuable assets – the equipment, the trademarks and the machinery – were in separate LLCs and leased back to the corporation?
The answer is that those assets are not owned by the corporation. They are beyond the creditor’s reach.
There are many excellent, affordable asset protection strategies to be pursued. Our affiliate, Corporate Direct, which is owned and operated by Robert Kiyosaki’s Rich Dad’s Advisor, Garrett Sutton, offers a complete corporate or LLC package for just $695 plus state filing fees. By mentioning Priority Leasing you are entitled to a $_________
discount and a free consultation with a corporate representative. Click here to begin the process of protecting your assets and saving on taxes today.
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