post-title What are the advantages of setting up a limited liability company?

What are the advantages of setting up a limited liability company?

Business Ideas

So, you want to run a business in Norway. Who would not? Norway provides entrepreneurs the perfect environment to establish successful companies.  You have a great business idea. All you need now is to decide on the structure of your startup. What will it be? The most popular business form in Norway is the limited liability company. You may know it under the name of AS. There are many LLCs registered in Norway and for good reason too. This kind of business structure offers many advantages. Are you curious to know what they are? If yes, please continue reading. You will be surprised by what you will find out.

It is easy to get started

Generally speaking, starting a small business is anything but simple.  You have to get all sorts of licenses and permits, not to mention that it is necessary to wait a very long time for the paperwork to be processed. The good news is that you can spare yourself of headaches. When it comes to Opprette aksjeselskap, it is very easy. Practically, you can complete the process in a few hours or so. What you are required to do is register the limited company, pay the share capital (30,000 krones), and send over the necessary paperwork. You do not have to worry about things like articles of the association or opening balances. Do you know why? Because you can order your LLC online.   

Limited liability

Starting an AS is very much similar to Starte DA. As the name clearly suggests, a limited liability company holds shareholders responsible for the debts acquired only to the degree of the nominal shares. In plain English, this means that you enjoy protection. If the business does not perform as well as you expected it to be, then you are not personally liable. Imagine the following situation: somebody sues the company for damages. If this happens, then you do not have to worry that your personal assets will be seized. There is no reason why you would not want to Opprette firma.

You enjoy tax advantages

Well, yes. When you set up a limited liability company you are offered certain tax advantages.  In Norway, Ass are taxed based on their profits. The really good news is that your business is not susceptible to high taxes. In other words, you have limited tax liability. If you are planning on doing business in Norway, then you should better make sure that you do things the right way. Why pay more when you can pay less? What you need to understand is that the limited liability company’s income is treated as if it were personal income. Unlike corporate taxation, the tax imposed is more reasonable. A lot more reasonable.

Do you still think that it is not a good idea to set up a limited liability company? On the basis of the points mentioned above, it is impossible to think otherwise. Do not waste any more time and launch your business. You do want to enjoy all those advantages, right?