Business Formation in Colorado: LLC, S-Corp and Getting Set Up Right
Forming a business takes ten minutes on the Colorado Secretary of State website. Forming it correctly, with the right tax election, the right accounts and the right registrations, is what saves you money and trouble for years. We set up new businesses for owners in Aurora, Denver and across the Front Range, and we fix ones that were set up wrong.
Who this is for
- First-time owners opening a store, restaurant, trade business, trucking company or service business.
- 1099 earners whose income has grown enough that an LLC or S-Corp now makes sense.
- Partners going into business together who need the ownership and tax split written down.
- Owners who formed an LLC years ago and never made the S-Corp election.
What we set up
- Entity choice. Sole proprietor, single-member LLC, multi-member LLC, S-Corp or C-Corp, chosen from your expected profit, owners and liability, not from a template.
- Colorado Secretary of State filing and the periodic report calendar so the entity never lapses.
- Federal EIN and the S-Corp election, Form 2553, filed on time when it fits.
- Colorado registrations. State sales tax license, local and home-rule city licenses, wage withholding and unemployment insurance accounts when you have employees.
- Bookkeeping and payroll setup from day one, so the first return is clean instead of a rebuild.
- Owner pay plan. For S-Corps, a reasonable salary plus distributions, set up through payroll correctly.
LLC or S-Corp
An LLC protects your personal assets. An S-Corp election changes how the profit is taxed: part as salary, part as distributions that avoid self-employment tax. Below a certain profit level the payroll cost outweighs the savings; above it the savings grow every year. We run your numbers before you decide. Read more on our S-Corp vs LLC comparison.
Mistakes we fix most often
- Business and personal money mixed in one bank account.
- Sales tax collected but never licensed or filed, especially in home-rule cities like Aurora and Denver.
- S-Corp owners paying themselves without payroll.
- Partnerships with no written operating agreement when a partner leaves.
Why owners start with SB Tax and Accounting
- One office sets up the entity, the books, payroll and the first return, so nothing falls between vendors.
- Clients served in English and Nepali.
- Located on the Parker Road corridor in Aurora.
Get a free 15-minute tax review
Tell us about your business. Sachin will review your situation and show you where the savings are. No obligation.