I know a thing or two about the complexities of launching a new business. As the owner of several businesses in the Los Angeles entertainment industry, I know from experience that you’ll have a quadrillion questions.
The other most common option is a corporation (aka a corp or Inc.). Corporations are another business entity that also provide liability protection. But, they are set up a little differently from an LLC.
What are the differences between an LLC and a Corp?
These two business entity options have some similarities and, of course, differences. Choosing between the two will depend on your business type and its needs, as well as your own liability and tax planning goals.
Generally speaking, LLCs indeed have less paperwork, particularly because it doesn’t have to hold “annual meetings” of the directors and take meeting minutes. It also does not have to issue “stock certificates” to its members.