We’re here to support entrepreneurs, just like you, every step of the way. We’re a one stop shop for everything from business planning and incorporation to funding at various points in your business lifecycle. Our expert team steps in where you need us to streamline the process so you can focus on what you do best.

We believe you deserve an opportunity to bring your dream to life. In order to get you there, we have a full suite of services offering you and your business the best terms and options up front, some of which do not require hard inquiries on your credit. Our team offers creative solutions tailored to your specific situation with your long term success in mind.

One of the major reasons why entrepreneurs do not qualify for business loans is because their business is not set up correctly. We walk you through all the reporting that can affect your funding options and help you clear up errors and problems before you apply. We offer a level of transparency you just can’t get with the big banks.

Whether you’re starting an LLC, S Corp, C Corp or other business entity, our mission is to provide you with a superior and modern experience at an unparalleled value.
 

 

Choosing the Right Entity
There are several factors to consider when deciding which type of entity is right for your business. These include:
● Your tax bracket
● How you choose to pay yourself
● The types of loans you are eligible for with each entity
● The limitations of each type of entity

We want you to walk into your business on day one with a clear grasp of the benefits and challenges of the entity you choose so you can plan accordingly and achieve your vision for the future.

 

Different Types of Entities

LLC: A uniquely American type of private business ownership that provides protection of personal assets while providing flexibility to benefit from some corporate taxation rules.

General Partnership: Requires two or more individuals who agree to take on joint responsibility for assets and liability within a business venture.

Sole Proprietorship: Owned and run by a single person where there is no distinction between the owner and business. The Sole Proprietor takes on all profits as well as all liabilities.

S-Corp: A small business corporation which elects to pass its finances (income, deductions, credits) through shareholders for tax purposes.

C-Corp: A corporate entity that is taxed separately from its owners, opening up more options for investment and spending.

 

 

Also known as a Pass-Through Entity or Physically Transparent Entity. These types of entities allow for finances to flow through the corporation without the effects of double taxation. Corporate income is allocated among owners, and income tax is applied at that point. This type of arrangement applies to:
● Sole Proprietor
● Partnership
● S-Corps
● LLC

Why choose a Sole Proprietor Entity?

● Pros:
1. The owner receives all profits (minus taxation)
2. All decisions come from the owner with the option to change and adapt promptly without consultation with partners or shareholders.
3. Inexpensive and simple to create and maintain
4. No citizenship or residency requirements

● Cons:
1. Owner carries unlimited liability with profit and loss reflected on personal tax returns
2. May require the owner to manage many roles and duties.
3. Business longevity is limited to the lifespan of the owner.

Why choose a General Partnership? (K1 rendering?)

● Pros:
1. Unlimited number of partners to help offset risk.
2. Potential division of labor with regard to managing the day to day business
3. No citizenship or residency requirement
4. Ability to come together to raise capital without having to answer to external investors
5. Inexpensive to create and maintain.

● Cons:
1. Partners carry unlimited liability with profit and loss reflected on personal tax returns
2. Leadership structure may be unclear

Why choose an LLC?
*Most popular in the USA

● Pros
1. Allows the company to choose to be taxed as a partnership or corporation
2. Limits liability to protect personal assets
3. Registration process usually protects the name of the business
4. The business can outlive it’s initial owners to be passed on or sold
5. Can be created either by an individual or multiple owners
6. Can be created as a subsidiary of another business rather than individuals
7. No annual oversight by shareholders.
8. No citizenship or residency requirements
9. Flexible profit and loss distribution
10. Flexible management options

● Cons
1. More challenging to maintain than sole proprietorship or general partnership (paperwork)
2. Annual renewal fees
3. Leadership structure may be unclear

Why choose an S-Corp?

● Pros:
1. Limits liability to protect personal assets
2. Registration process usually protects the business name
3. The business can outlive it’s initial owners to be passed on or sold
4. Ability to issue stock to invite investors
5. Corporate loss can be used to offset income from other sources
6. Option for salary and dividend payment
7. Easy conversion between S and C corps
8. Heightened credibility among other businesses, vendors and investors.

● Cons:
1. More requirements, scrutiny and ongoing expenses than LLC
2. Citizenship and residency requirements
3. Limited to one type of stock for investors
4. Ownership is limited to 100 shareholders maximum (individual persons not corporate entities)
5. Fixed profit and loss allocation

Why choose C-Corp?

● Pros:
1. Limits liability to protect personal assets
2. It is a separate taxable entity
3. Registration process usually protects the business name
4. The business can outlive it’s initial owners to be passed on or sold
5. Unlimited number of owners and shareholders
6. No citizenship or residency requirement
7. Can be created as a subsidiary of another business rather than individuals
8. Ability to issue multiple types of stock to invite investors
9. Flexible profit and loss allocation and broader range of deductions and expenses allowed

● Cons:
1. Requires annual meetings and disclosures to maintain corporate status
2. Some potential for double taxation
3. More expensive to form and maintain

Benefits of Forming an LLC with Latter Financial Group

● Limited liability: By definition, an LLC keeps your liability limited so that your personal assets are protected.
● Simplicity: We do all the groundwork - We check your LLC name, file your paperwork and follow up with your state. All you need to do is provide us some basic information to get going.
● Business loan pre qualification: We help set up your LLC correctly from the beginning and evaluate your business loan vitals to prequalify you for $50,000-200,000 in funding.