We are an LLC uh as it pertains to the state uh and business-wise. On a tax formation side, we are an escorp. Uh we chose LLC um honestly because we were kind of told we should. We wanted to separate our personal liability from our business liability.
Uh and so we kind of just did it. um didn't really have uh that much knowledge on what it meant. Uh then we got linked in with a uh accountant and that's where we were told if you want to pay yourself as an employee you could save some money on on on taxing and taxes if you are an escorp. Uh I would still recommend always talking with your accountants and planning this ahead of time.
Um as there are some benefits to being an S corp or a C corp or just a partnership that are longevity wise like if you're trying to sell your business apparently uh you want to stay within an LLC or a corporation. Yeah. So always always lean on your adviserss. I chose an LLC.
We are an escort, however, and that is based off of what our CPA recommended. So, um, we want to make sure that our personal finances are separate from our business finances, um, for liability purposes. How do we make sure that our business stays in compliance with local and state regulations? Uh, well, for our health department license, we get inspected every 6 months.
Um so there's obviously a mechanism in place that holds us accountable to make sure that we are maintaining our legal status. Uh and then with the other um aspects of regulations, we really lean on our adviserss like our accountants and our lawyers um to make sure that we are uh on the right track. Other than that, honestly, just going to their websites, Laura, the health department, and and doing the research yourself is how you find out. our Michigan um state websites are really great because they you can sign up for notifications.
So um you get emails when um things are due or things are coming up and then um it's also a really good idea to have a business um calendar so you can mark those dates and know what's coming up. So you know a liquor license if that expires in March but your retail license doesn't expires in January. You have to be aware of those dates. So putting them on a business calendar and then signing up for those state notifications is always a great idea.
It's imperative to make sure you seek out professional help around aligning proper business etiquette and making sure your business is running properly. Reaching out to uh accountants, reaching out to financial advisors, uh you know, reaching out to local banks to strategize on how you're going to um you know, document certain dollars. It it takes a a community in a whole um as far as the services that support businesses. It's very imperative to make sure you are co-creating with each one of them around make sure your business is thriving and successful.
