An Indiana LLC offers all of the advantages that most people would point to when assessing whether to form an Indiana LLC as opposed to operating a business as a sole proprietorship. Those would include:
- Limited liability and protecting personal assets.
- Creates credibility with business customers and clients.
- The risk of audit can be reduced in some cases.
- It becomes easier to deduct certain valid expenses.
An Indiana LLC offers all of the advantages that most people would point to when assessing whether to form an Indiana LLC as opposed to a corporation. Those would include:
- An Indiana LLC provides a great deal of flexibility and organizational freedom.
- An Indiana LLC can be member managed, manager managed, can have any number or type of officers.
- An Indiana LLC has less requirements, restrictions and formalities under Indiana law.
- An Indiana LLC can allocate profits, losses, and distrubutions among members in whatever manner the members agree to – not so for a corporation and its shareholders.
- An Indiana LLC has far fewer restrictions than an S corp and can have as many members as it needs.
- An Indiana LLC can enjoy pass though taxation. Any business profit or loss is passed through to the members, so that they pay the taxes individually on their personal income tax returns. Paying tax at the business level is avoided for an LLC.
Finally, forming an Indiana LLC does have a few advantages over forming an LLC in a different state:
- Forming an Indiana LLC is fast! The process of filing articles of organization with the Indiana Secretary of State can be done electronically – and in most cases – your Indiana LLC can be up and running within 24 hours. Some states require documents to be mailed to the state, while other require that certain notifications be published in the newspaper – all of which can take weeks!
- Forming an Indiana LLC is can be a private and confidential process. Most other states require that the name and address of members, managers and/or officers of the LLC be filed as a matter of public record. Indiana only requires that the name and address of the registered agent of an Indiana LLC be filed (which can be anyone located in the state of Indiana – typically an attorney or registered agent service provider).
- Forming an Indiana LLC only requires a $87.00 filing fee with the state (which is included in in all of our LLC formation packages). Some other states charge double, triple, and even quadruple that amount.