Top Reasons to Incorporate Your Business
There are several types of businesses that can be set up and run for specific purposes, most noticeably, to make profits. These types can be classified into sole proprietorship, partnership, limited partnership, incorporation, Limited Liability Company (LLC), non-profit organization, and cooperative. Among these types, incorporation comes with many advantages such as protecting assets from legal suits and creditors. It is a legal process to form a corporate company or entity and separates its assets and income from the investors and owners. Whether it is company incorporation in Malaysia or elsewhere, the resulting corporate is identified by terms such as ‘Inc.’ or ‘Limited or Ltd.’ In simple terms, incorporating a company involves declaring it a separate entity from its owners. In Malaysia, most start-ups begin their journey as sole enterprises or proprietorships. However, with business expansion, such sole enterprises can face increasing challenges or risks, which m...