With the 29th largest population in the United States, Connecticut services both large and small businesses. Connecticut's major industries include insurance, agriculture, and manufacturing. Regardless of your industry, you can take advantage of Connecticut's business services. Forming a LLC Connecticut ie. a Limited Liability Company, as the name states, can provide you better legal protection with regards to personal liability, when compared to a Partnership or sole-proprietorship. You may also elect to be an S-Corp (including LLC's) with regards to federal tax reporting and filing, in order to benefit from lower personal income tax and lower or no self-employment tax (if one is self-employed) depending upon how one chooses to structure, report and file their federal income taxes. For specific issues with regards to tax compliance, reporting, tax filing and business structuring issues, please consult with a professional tax consultant in Connecticut.
Details Specific to LLC ConnecticutStartup Legal provides state specific Company advice on LLC formation. Some unique attributes of Connecticut incorporation include the following:
DirectorsConnecticut LLC may have as few as one director.
Annual ReportsEntities operating in the state of Connecticut must pay a fee of approximates $80 with each annual report. Entities operating outside the state of Connecticut must pay an approx. $350 fee.
LLC Connecticut FormalitiesConnecticut maintains fairly accurate reporting requirements. The certificate of incorporation, bylaws, and certain resolutions adopted by the board of directors, minutes of all shareholders' meetings, records of all action taken by shareholders without a meeting for the past three years, names and addresses of current directors and officers, and the most recent annual report must be kept at the principal office of the corporation.
Licensing to BusinessMost businesses and companies in Connecticut must obtain a license with their city or county after becoming a corporation, LLC or partnership. Some of the businesses and professions requiring licensing include; accounting, shops, child day care services, collection agencies, architecture, law, barber, electrical workers, fund-raising organizations, home improvement contractors, insurance, investment organizations, professional engineering services, real estate services, television, electronic equipment service, repair vending machines and operators.
State Income TaxesThe state income tax rate is approximately 8% of net income. An annual tax of $250 is compulsory or obligatory on each company that is treated as a partnership, limited liability partnership, or S corporation for centralized income tax purposes.
For legal startup, you can take expert counsel advise, as per their advise a full set of customized corporate documents and instruction on how to follow future corporate formalities (proper legal compliance is essential in the event of an audit or law suit). Additionally, we take care of all necessary filings with the state and federal government. At Startup Legal, we aim to take as much of this administrative burden as possible off your shoulders. Startup Legal was founded as a result of the frustration and delay its principals encountered when forming their own California law practice. As entrepreneurs, the Startup Legal founders realized that the startup process can be extremely taxing on new business owners. Incorporating the business, filing with the proper regulatory agency, setting up banking and credit card accounts, establishing the tax treatment of your new entity, and learning how to follow corporate formalities can be overwhelming. All of these tasks can take valuable time away from what new business owners should be doing-- which is running their business.