What are the differences between C-Corp, LLC and S-Corporations?
A. A C-Corporation (a regular corporation) acts as another legal entity that conducts business. C-Corps, S-Corps and LLCs can all be sued, open a bank account, issue stocks and own property. The business owner can retain his own bank account assets, personal property and credit history independent of his business dealings. The difference with a C-Corp is that this entity may be double-taxed on both business and personal forms. An LLC (Limited Liability Company) aims to protect the assets of the business owner, who is now deemed a “member” of the corporation (rather than a “shareholder” or “partner.”) Come tax-time, an LLC is normally taxed as a partnership, so the profits or losses are typically recorded on a member’s personal taxes. LLC offers greater flexibility in business dealings because members of an LLC do not need to record the minutes of their meetings to retain their status, as a normal C-Corporation might. However, unlike a C-Corp or an S-Corp, an LLC cannot issue stocks. Ma
