If you’re a small business owner, you’ve probably thought about expanding your business at some point. For many business owners, that means going from a sole proprietorship to an LLC, which is a big undertaking. You don’t have to figure everything out on your own, though. A small business accountant can provide services beyond bookkeeping that will help you expand your business.
Before discussing how a small business CPA can help, let’s discuss what it means to go from a sole proprietorship to an LLC and how to do it.
If you have not filed any business paperwork with the state, you are operating as a sole proprietor. This means that you are the only employee and there is no distinction between the business and you, the owner. You are entitled to all profits and are responsible for any of the business’s debts, losses, and liabilities. While this is the simplest business classification, it can place a heavy financial burden on you because you alone are responsible for the business.
A limited liability company (LLC) separates you from your business, removing the heavy financial burden. Many businesses operate as LLCs because it gives you the flexibility of a sole proprietorship, but provides much more protection.
While most people think of small business accountants as bookkeepers, that couldn’t be further from the truth. At Carson Thorn, CPA, PLLC, we provide a range of services for business owners including filing for a federal tax ID, payroll services, tax reporting, and much more!
If you’ve only done business as a sole proprietor, operating an LLC and managing employees will be a new challenge. Having an experienced small business accountant on your side will give you peace of mind and allow you to focus on running your new business. We provide a variety of financial services to businesses in the Raleigh area. Learn more about how we can help you make the move from sole proprietorship to LLC by calling us at 919-420-0092 or filling out our contact form to schedule a consultation.