Nevada as a Preferred State
Nevada has a number of outstanding attributes that make it extremely attractive to entrepreneurs. Consider the following advantages to incorporating in Nevada:
Nevada has been continually ranked number one as a place to do business. Why? Nevada offers some of the most aggressive pro-business legislation in the country. Nevada provides a favorable business climate and low taxes.
Nevada has passed some of the strongest legislative pro-business laws in the country and they have done nothing but make those laws stronger in the last 40 years.
- Stockholders, directors and officers need not live or hold meetings in Nevada, or even be U.S. Citizens.
- Directors need not be stockholders.
- Nevada Corporations may purchase, hold, sell or transfer shares of their own stock.
- In Nevada, one person can hold all positions in a Corporation or Nevada LLC.
- No cash restrictions. In Nevada, you can issue stock for cash, property or services at the complete discretion of the board of directors, which again, can be just yourself.
Relocation is not necessary. Officers of a Corporation can live anywhere in the world. Your directors and shareholders can hold meetings anywhere. Your Corporation or Nevada LLC can also be formed easily by mail, fax or phone 1-800-648-0966 so you can incorporate in Nevada, or form a Nevada LLC without ever seeing the state.
Tax Savings For Nevada LLCs or Nevada Corporations:
- No Corporate Tax
- No Personal Income Tax
- No Franchise Tax on Income
- No Inheritance or Gift Tax
- No Admissions Tax
- No Unitary Tax
Asset Protection, Nevada LLC and Nevada Corporation:
In Nevada, liability stops with the Corporation. As an officer or director, you cannot be held responsible for lawsuits against your Corporation except in the case of outright fraud. You also have the ability to use nominee officers and directors.
Nevada also does not require Corporations to file a list of assets. Therefore, the Corporation's assets are not linked to you in any way.
No other state takes privacy as seriously as Nevada. In Nevada, there is no requirement for the names of stockholders who own an Nevada Corporation or Nevada LLC to be filed with the state.
No Cash Restrictions:
In Nevada, you can issue stock for cash, property or services at the complete discretion of the board of directors, which, as previously stated, can be just you.
You don’t have to live in the state in which you form a Corporation or LLC. You will have to meet the requirements of doing business in that state in which your company was formed.
Nevada offers a 24-hour expedite service. If you place your request for formation by 3:00 p.m. PST we can have your company back the following morning.
Professional LLCs are allowed.
Series LLCs are allowed.
Indemnification of members or managers of LLCs has been increased to offer greater statutory separation between the entity and the individual.
Operating agreements adopted after filing the articles may be enforced.
Non-economic members may bring an action on behalf of the LLC.
Perpetual life of an LLC is allowed.
As with any business, you will have to show that you are treating the business like a legitimate operation. Do you have a phone number (not a cell phone), physical office space, and business bank account in that state? Laughlin provides a complete physical office presence in Nevada for only $175 a month. This includes your own physical address, a live receptionist to answer the phone, mail forwarding and unlimited consultations.
There is no one-size-fits-all when it comes to Nevada; it really depends on your individual circumstances. While Nevada does provide some unique asset protection and tax laws that can benefit your business, it doesn’t work for everybody. If you aren’t sure call 1-800-648-0966 and talk with a strategist.
There are a lot of companies that will form a Corporation for “cheap”, but as the old saying goes, “you get what you pay for.” What they don’t tell you is that you still need to pay all the state fees, registered agent fee and pay for a corporate record book. They also aren’t available to answer your questions after they form the company.
If you aren’t prepared at this time to pay to have it done right, then you might want to consider holding off until you are ready. Spend the time to do your homework and understand what you are getting into.
Yes, you may, but a word of caution is appropriate. If you do not intend to engage in activity that would constitute "doing business" in your home state with your Nevada Corporation, you should be careful as to how your Nevada Corporation's home state bank account is used.
A non-US citizen can own a Nevada Corporation and/or an LLC. Non-US citizen cannot own shares in an S-corporation.
There can be a strategic advantage for you to incorporate in Nevada and then have the Nevada Company qualify to do business in your home state. Companies will even use Nevada as a holding company for trademarks or intellectual property. This allows the company to take advantage of certain tax saving strategies and additional pro-business benefits Nevada offers.
Corporations and LLCs are required by law to maintain certain documents. Failure to maintain this vital paperwork can cause the liability protection your company provides to disappear, leaving you personally exposed to litigation.
A further benefit of incorporating in Nevada is that some of the taxes and filing fees paid by a Nevada Corporation are lower than the comparable taxes and fees paid by a Delaware Corporation. The following is a list of tax benefits enjoyed by Nevada Corporations:
No Corporate Income Tax
No Taxes on Corporate Shares
No Franchise Tax
No Personal Income Tax
No Franchise Tax on Income
No Inheritance or Gift Tax
No Unitary Tax
No Estate Tax
Laughlin will complete the formation, send you the final documents, review your corporate record book and go through any additional questions you might have. Our service doesn’t stop once the company is formed; we continue to provide on-going support and are available to answer your questions.