Importance of incorporating to protect your assets
Posted On March 2, 2020
Corporations and LLCs offer greater asset protection than sole proprietorships and general partnerships, which is a strong reason for incorporating a business. A sole proprietor or general partner has unlimited personal liability for the debts and obligations of the business. In other words, their personal assets remain at risk in a judgment against the business.
In contrast, corporations and LLCs allow owners to separate and protect their personal assets from the debts and obligations of the business. In a properly formed and structured corporation or LLC, a judgment against the business should not affect an owner’s home, car, savings, or other personal assets.We have company incorporation package Singapore to meet your needs
A local or foreign individual above the age of 18 years can opt to form a Singapore company. The process for company incorporation in Singapore is fast and hassle-free. You should prefer a particular business structure for the setting up of your Singapore Company based on the magnitude of the business idea (whether it is a product or platform), the scope of the business plan, and the scale of your intended business activities. You also need to determine your liability, tax obligations, cost and appreciate your business assets before taking the final decision on the structure to incorporate.
At The Formations Company, we understand how hard starting a new business can be. Often, you’re putting your biggest dreams on the line and it can be a daunting prospect. Our company incorporation package Singapore will simplify the process of forming a company by supporting your business through the first stages of your start-up journey. This means you can focus on the bigger picture.