In the eyes of many small business owners, the corporate world is the realm of massive conglomerates such as Microsoft and General Motors. To be successful and hold the line financially, however, tax experts agree that there are many advantages of incorporating a small business. Incorporating allows a company to carry losses forward, enabling it to lower the taxes for each year over which the losses are spread. Being unincorporated leaves a business open to greater tax liability, especially when it comes to self-employment tax. Small business owners who are not incorporated also face an uphill battle when it comes to taking loans out from banks. Businesses that have set up corporations, however, present a far superior financial picture to lending institutions.
For more information on small business incorporation and business taxes, contact a Nevada Corporate Headquarters representative at 1-800-508-1729.