Is company incorporation in Florida the right choice for you? Florida is probably one of the best states for small and medium enterprises (SMEs) thanks to a positive business and economic climate. Some of the advantages that SMEs enjoy in this state range from generous tax benefits, ease of transportation; large markets for sellers, and a thriving tourism industry.
A report by U.S Small Business Administration says that small businesses in Florida have employed over 3.1 million people. The exit rates for businesses have decreased over the years while new or start-up company incorporation in Florida has increased.
Why Choose Florida for Incorporation?
Of late, there has been a rise in company incorporation in Florida and one of the prime reasons is the advantages that businesses enjoy. Some of the advantages include:
Major Tax Benefits
One of the reasons for a high number of start-up businesses in Florida is because of the flexible tax structure. In Florida,
- Corporate income tax on S-corporations is non-existent
- Corporate income tax especially on limited partnerships is non-existent
- Corporate franchise tax on capital stock is non-existent
- State-level property tax is not assessed
- Property tax is not levied on goods-in-transit for a period of 180 days
- Property tax is not levied on business inventories
- Goods that are manufactured or produced in the state for export does not attract sales and use tax
- Purchase of raw materials including packaging or non-reusable containers does not attract any sales tax.
If you are planning to set up a company in Florida then this is another advantage you will enjoy. If you have registered your business as S corporation then you will only pay income tax on your income and not on the income of your business.
What makes Florida better for SMEs is the scheme called targeted industry incentives. If you set up company in Florida and are able to create high wage jobs in specific high value-added industry then your business will qualify for Qualified Target Industry Tax Refund (QTI) incentive. The incentive can provide you with refunds on your insurance premium, corporate income, ad valorem, sales, and intangible personal property among others. There are several other incentives that businesses can benefit from and these include High Impact Performance Incentive Grant (HIPI), Brownfield Incentives, and Capital Investment Tax Credit (CITC).
How do you incorporate in Florida?
Company incorporation in Florida has its own set of benefits but there is a process that you need to follow. There are several requirements that are necessary for registering your C or S Corporation. We at incparadise.net have a team of specialists who can guide you towards setting up Florida C Corporation, S Corporation, or LLC in the shortest possible period.
Here is a step by step procedure towards incorporation in Florida:
- Type of Business: You need to identify the type of business you want to set up in Florida. You can choose from a general stock corporation to a non-profit corporation, LLC, limited partnership (LP), or limited liability partnerships (LLP).
- Business Entity Name: The second step is to identify a name for your business along with the required suffix. Pursuant to Chapter 607 or 621 F.S., the name of your corporation should include a suffix like Corp., Corporation, Inc., Incorporated, or Company etc. If you opt for company incorporation in Florida then it is essential to check a corporate name.
Note: You will be required to fill and submit the Florida Fictitious Name Registration form, also known as the “doing business as” (dba) name.
- Registered Agent: You will need to name a registered agent as the agent will be responsible for initiating the processing of your Certificate of Formation. As a Florida registered agent like incparadise.net, we can also receive any and all legal and business related paperwork on your behalf.
- Articles of incorporation: You will need to file Articles of Incorporation for profit or non-profit corporation. We can always file on your behalf through the standard process or online or even through expedited process.
- Date Stamped Copies: As a part of the process of company incorporation in Florida, we will ensure, you receive a Certified Copy and a Certificate of Status verifying if the state of Florida has filed as well as formed your corporation.
Costs and Fees associated with Florida Incorporation
What would it cost to set up company in Florida? Check Fees here!