If you conduct business in the State of Florida, then the answer is YES!
For over 100 years, corporations have been in existence, and Limited Liability Companies (LLCs) have been in existence since 1982. Florida LLCs gained popularity in 1999 after the repeal of the Florida corporation income tax on LLC’s income and further government initiated tax breaks.
Issues involving taxes and asset protection are the main reason you should consult with a Florida Corporate Attorney when forming your business. A Florida Corporate Attorney will be able to explain the differences between the different types of companies and assess which type best fits your individual needs.
One of the principle purposes of creating a company is for asset protection. When you create a Florida LLC or Corporation, especially if you are a single-member Florida LLC, you should be separating your corporate assets from your personal assets, including real estate, cash, and other assets. This is creating what is called the “Corporate Veil.”
By separating your assets, you are limiting the ability of creditors to access your personal assets for debts owed by the company. These debts may include unpaid bills, Court judgments, liens, etc. If you do not properly separate your assets, then you risk the chance of never creating the “Corporate Veil” asset protection.