There are more than 3.5 million small businesses in California, according to the Small Business Association, and they employ more than half of the state’s workforce.
Business expert and owner of Inc. Plan (USA) Jacques Luben says incorporating is one of the best ways to grow a small business.
“When you go out into the world and you try to develop your business and meet people, whether it’s customers or suppliers or banks, you want to present yourself as the president of your company,” Luben said. “When you set up a corporation, you are the president of your company, and it gives you a certain amount of stature to go out in the world in that capacity.”
Luben has an MBA in Finance from Columbia University. He joined Inc. Plan in 2002, and according to his LinkedIn profile, has helped more than 10,000 entrepreneurs from every part of the world to incorporate and upgrade their new businesses.
He says incorporating also helps protect your personal assets, in the event a lawsuit is filed against your company. And because business expenses can be deducted, small business owners who incorporate will likely pay less money in taxes over time than those who do not.
For more of Luben’s helpful tips for small businesses, be sure to watch our story below!