The corporation seems to be favored by most long-term successful businesses. The Corporation provides the shareholders protection from total loss (unlike in partnerships and sole proprietorships) through a legal shield referred to as the Corporate Veil. By design, the shareholders of the corporation are exposed to the limit of their investment (stock). Arizona allows one person corporations, Therein, the same protection from corporate structure is awarded the one person corporation as is provided the large multinational corporations. Corporations are all filed as C corporations. Many small corporations elect Sub Chapter S status to eliminate the corporate income tax (some refer to this as double taxation). We set up corporations and do the S status filings to save our clients money. Your attorney and/or accountant should be able to answer additional questions you may have.
CONNECT WITH US!