If you have a business (such as income property investing) with more than $50,000 in assets, you should be thinking about incorporation and, when it comes to a pro-business corporate climate, it doesn’t get any better than the state of Nevada. What do you expect? The place is mostly desert, secretive military installations, and nuclear waste storage. They needed an income besides gambling and legal prostitution.
In an average year, Nevada approves more than 40,000 incorporations! Why do businesses flock there? The answer probably has something to do with the lawsuit happy nature of our modern culture. A lawsuit is filed in this country every 2.08 seconds. If your find yourself the target of legal action and you’re not protected, it could be the end of your business. Nobody protects better than Nevada.
By incorporating, you legally separate your business and personal assets and also limit the exposure of your personal assets to a legal judgment against you. Nevada prides itself on its bullet-proof corporate protection, making it practically impossible for creditors and litigants to get there hands on your personal loot. The corporate veil has never been pierced in Nevada. That’s a pretty good track record.
Other advantages are:
• No taxes on corporate or citizen income.
• No hidden corporate taxes of any kind.
• Sales tax only on products sold within the state.
• Filing fee of $85 per year gets you a bona fide Nevada corporation.
• No minimum capital for start up.
• One person can hold all offices.
• Corporation can be set up from wherever you are.
The crazy part is this sounds a lot like capitalism to us. The bottom line is, if you’re planning on making lots of money with your income property investments, you need to get serious about incorporating in Nevada.
The Platinum Team
