Business owners, take note: The end of the year can be an exciting time of opportunities for your business.
Before the year ends, CPAs will begin advising their clients to restructure using methods such as incorporating, changing over to an LLC, and so on. Depending on the specifics of your business, these moves can save you money and benefit your business in numerous other ways.
Unfortunately, everyone else has the same idea at this time. Many businesses find themselves filing for these changes after the beginning of the year. At that point you can find yourself in line behind hundreds or even thousands of other businesses, waiting for these changes to go through (and for the legal and tax benefits to begin).
In California, you can take advantage of something called the Fifteen Day Rule. If you file for your structural changes within the last fifteen days of the calendar year, then you can get it set up in advance of the next year beginning. This method gets you to the front of the line and helps you achieve important changes much more quickly.
However, there’s just one catch. Getting to the front of the line sounds great, but it won’t help you if you’ve made the wrong changes to your business structure. Instead of rushing into any decisions, take the time to ensure that you’ve chosen the correct path.
Click on the link below to download our Incorporation Guide. It will help you understand the different options available to you, so that you can sort out the details before taking advantage of the Fifteen Day Rule later in December.