Business Basics: Delayed Filings

Delayed FilingDelayed filings aren’t the most popular business-related topic, but pursuing a delayed filing can actually be very beneficial to a new small business. When you opt for a delayed filing, you essentially put your business’s paperwork on hold. So if you, for example, have decided to form an LLC, you can actually ask the state to not start the approval process until later in the year. And while it may seem counterintuitive to ask the state to sit on your paperwork, and effectively put your business plans on hold, delayed filings can save you a bit of money and time when it comes to your start-up.

Money saved

‘Nothing is certain in life but death and taxes,’ and the minute your business springs to life, you are liable for all sorts of taxes and fees. If you opt to start your business before the end of 2013, you’ll have to collect, report, and pay taxes for 2013, even though your business was around for less than a month. Delaying recognition also means you could avoid the annual reporting fee for your state for 2013, possibly saving you hundreds of dollars.

Time saved

January is one of the busiest months for government agencies. It is when they begin to work their way through the backlog of paperwork that inevitably accumulates at the end of the year, and year after year I’ve received notices from state agencies all across America regarding a backlog that won’t be surmounted for weeks. A delayed filing will, however, help you avoid that backlog because most states place delayed filings in a priority queue. So after all of the time-critical filings are handled, the state moves directly into approving delayed filings. By opting for a delayed filing, you can avail of all of the benefits of filing in the new year, and avoid the January rush.

Should you opt for a delayed filing?

It really depends on the needs of your business. I’ve always recommended forming a Limited Liability Company or incorporating as soon as possible but, when you do so at the very end of the year, you could get stuck paying annual taxes and fees for the right to operate your business in December. Every state is different, but most will allow you to push your filing date at least thirty days into the future. If you expect your business to be around for a while, and I certainly hope you do, choosing a delayed filing will simply mean operating as a sole proprietorship for one more month before the protection of an LLC or Corporation kick in. If you want to save some time, and possibly quite a bit of money, consider a delayed filing when sending your paperwork into the state.

Would you like to learn more about delayed filings? Or are you ready to form your own LLC or Corporation? Give us a call at 1-877-692-6772 and we’ll be more than happy to help you out!

Experts Weigh In: End of the Year Business Tips for 2013

End of the Year Business Tips for 2013Here at MyCorporation, we’re busy prepping for the end of the year and looking forward to what 2014 will bring for small businesses and entrepreneurs. But while our prep involves helping to file delayed filings or incorporating or forming LLCs for small businesses, we’re curious to see how other companies are closing out 2013. Today, we have 24 small business professionals giving us a look at what they’re working on for their brands and their biggest business tips on how to close out the end of the year!

1. “Make a resolution to focus on one social media platform. Social media is not going away and it’s time for small business to step up.”

- Lisa McTigue, Social Media Expert, LisaMcTigue.com

2. “We are making sure all inventory is in stock and organized, all marketing materials ready to go and short lead press releases being sent to appropriate parties. We look forward to a successful holiday season!”

- Sally Goodgold, Founder, WarmTradition.com

3. “At year end, I always check in with everyone who was interested to hire us during the year but didn’t. Many times companies find “use it or lose it funds” on the books at the end of the year and if you hit the timing right, they may just reopen the conversation where you left off before and have you invoice them in December to get the found money off the books. Then you can start the new year strong with motivated clients who will return your calls fast since they have already paid you!”

- Paige Arnof-Fenn, Founder and CEO, Mavens & Moguls

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