Business Credit Service

The first step in obtaining business credit is to separate yourself from your company, and you can do this by incorporating your business as a C corporation. The second step is to establish a business credit profile with Business Credit Reporting Agencies for your company.  Finally, the third step is to find companies and financial institutions that will give your company business credits and loans based on your Federal ID Number and without personal guaranty. That is what Accountiviti business credit and registration service can do for you and your company.

Accountiviti can help you to incorporate your business to make sure that you enjoy the benefits of incorporation. Not only are we going to help you to choose the right business entity but also will help you to setup corporate credit that will allow you to borrow money and obtain business credit without personal guaranty.

If you are really serious about obtaining Business Credit without personal guaranty, call us today at 617-828-5777 to speak with our Business Credit Consultant. 

C Corporation Compared To Other Entities:

Many accountants and lawyers out there do recommend to their clients to register an LLC or an S corporation. While their recommendations might have some tax savings benefits, we believe that the best form of entity is the C corporation. It will allow small business owners to completely separate themselves from their corporation. It is good for creating a business credit profile that can help you to borrow money or obtain credit without personal guaranty. Below are some benefits of C coporation:

A C corporation can be preferable to pass through entities like LLC and S corporation as to fringe benefits. As owner-employees, employees of a C corporation qualify for certain employee fringe benefits. On the other hand, self-employed persons, partners, LLC members, sole proprietors and more-than 2% stockholders in S corporations do not qualify. For example: Health insurance can be tax-free to C corporation owner-employees (through full deduction by the C corporation and full tax exemption for the owner-employee). However, it is only partly tax free to the self-employed, because of their limited tax deduction for this item category.

Another important advantage of C corporation is that they are less likely to be subject to passive loss deduction limitations. This limitation, which is the opportunity to deduct losses from activities the taxpayer, does not "materially participate" in, against income from investments or other businesses. It is true that only limited partners group have been the most subject to passive loss limitations.

The best advantage of a C corporation is that you can retain earnings or profits in your company after the payment of Corporate Taxes. You can use this retain earning to grow your business and buy assets that will add value of your company.