FITNESS BUSINESS ARTICLES
To Choose The Proper Business Entity?
your business structure is just as important - if not more
important - than marketing. You should consult with your
accountant or your attorney in forming your business. The
process in setting up your company is as follows; these are
just the key points that need to be done, but not necessarily
in the exact order listed.
you need to come up with a company name and ascertain if the
URL is available for that website. If the URL is available for
that name, the next step is to register that name with the
Secretary of State in the state that you reside in. At this
point, there are two options: One is to consult with your
accountant or CPA to decide if you should be a sole
proprietor, partnership, limited liability corporation or a
Corporation. At the very least, reserve the name with your
Secretary of State for a minimal fee while you decide what
business entity you should be.
are the four types of business structures and a brief
explanation of each:
As you can see, each entity is somewhat different. In my opinion, I would either be a limited liability corporation or Corporation. There is a little bit more record keeping involved for a corporation, but is by far, well worth the time and effort that you expend. I attended to a financial seminar about 15 years ago and I learned that if I could take advantage of every deduction there was as, just a regular working person, I might only be eligible for 70 different deductions. If I owned a home there were a little over a hundred deductions. If I was in business for myself there were close to 200 available deductions. Here is where things changed: if I were a corporation, there were well over 300 deductions!
So, the moral of the story is this; if you can be a corporation, be a corporation, BUT you absolutely must talk to your accountant or attorney before you make a determination of which business entity you should be.
Perkins is eFitnessTracker's Business Coach, a business solutions coach and a certified personal
trainer who leads fitness professionals to profitability.