§ NEW BUSINESS FORMATION
BOCA RATON · UPDATED MAY 2026
Start your business structured right from day one.
Entity selection, state filings, EIN, initial accounting setup, and owner-compensation planning — so the structure protects you and minimizes tax from the start.
In short
New business formation at KDM includes entity-type analysis (LLC vs. S-Corp vs. C-Corp), Florida Division of Corporations filing, EIN registration, S-Corp election (Form 2553) where appropriate, initial accounting system setup, and owner-compensation planning. Typically $950-$2,500 all-in depending on complexity.
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§ 01
The entity question
Entity selection is the biggest decision you make at formation — and switching later is painful. We analyze your specific situation and recommend the right structure.
- — Sole Proprietorship — no formation cost, no liability protection, full SE tax
- — Single-Member LLC (disregarded) — liability protection, still full SE tax
- — Multi-Member LLC (partnership) — liability protection, flexible allocation
- — LLC taxed as S-Corp — SE tax savings above ~$60-70K net income
- — S-Corporation — similar to LLC-taxed-as-S-Corp but with more formalities
- — C-Corporation — rare for small business; useful for retained earnings, complex equity
§ 02
What formation actually involves
- — Name availability check with Florida Sunbiz
- — File Articles of Organization (LLC) or Articles of Incorporation (corp)
- — Obtain Federal EIN from the IRS
- — File S-Corp election (Form 2553) if electing S-Corp taxation
- — Draft Operating Agreement (LLC) or Bylaws (corp)
- — Register for Florida Reemployment Tax if you'll have employees
- — Register for Florida Sales Tax if you'll sell taxable goods/services
- — Set up business bank account (we write the intro letter)
- — Initial QuickBooks configuration
- — Reasonable-salary analysis (for S-Corps)
§ 03
Florida-specific considerations
Forming in Florida has advantages and requirements distinct from other states:
- — No state income tax on individuals — preserves pass-through entity benefits
- — Florida corporate income tax (5.5%) applies to C-Corps on Florida-source income
- — Annual Sunbiz report + $138.75 fee due by May 1 (LLC) or May 1 (corp)
- — Registered Agent required — can be you, the firm, or a commercial RA service
- — Foreign-qualification (out-of-state businesses operating in FL) — we handle these too
§ 04
After formation — the first 90 days
Formation is the easy part. The first 90 days set up everything that happens after:
- — Open separate business bank accounts — no commingling with personal
- — Establish accounting system + monthly bookkeeping cadence
- — If S-Corp: set up payroll and pay yourself reasonable comp
- — Register for any local business tax receipts (varies by Florida city/county)
- — Set up retirement plan contributions (Solo 401(k), SEP, etc.)
- — Establish contracts + insurance (we recommend attorneys + insurance brokers)
§ Pricing
Flat fees. No hourly surprises.
All-in flat fee covering entity selection consultation, state filing, federal EIN, S-Corp election where applicable, and initial accounting setup.
| Item | Complexity | Typical flat fee |
|---|---|---|
| Single-Member LLC | Florida formation, EIN, operating agreement, QuickBooks setup | $950–$1,400 |
| Multi-Member LLC | Same + multi-member operating agreement | $1,200–$1,800 |
| S-Corporation | LLC or corp + Form 2553 election + reasonable-salary analysis | $1,400–$2,200 |
| C-Corporation | Articles, bylaws, EIN, initial board minutes | $1,600–$2,500 |
| Foreign qualification | Out-of-state business operating in FL | $650–$1,100 |
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Single-Member LLC
Florida formation, EIN, operating agreement, QuickBooks setup
$950–$1,400
-
Multi-Member LLC
Same + multi-member operating agreement
$1,200–$1,800
-
S-Corporation
LLC or corp + Form 2553 election + reasonable-salary analysis
$1,400–$2,200
-
C-Corporation
Articles, bylaws, EIN, initial board minutes
$1,600–$2,500
-
Foreign qualification
Out-of-state business operating in FL
$650–$1,100
Florida state filing fees ($125 LLC / $70 corp) and EIN application (free, but we handle it) are included in the flat fee. Registered Agent service is an annual $150 add-on if you use us.
§ Scope
What's included — and what isn't.
No surprises mid-engagement. Here's exactly what's in the standard scope, and what we'd bill separately or refer out.
Included
- — 30-minute entity selection consultation (LLC vs. S-Corp vs. C-Corp)
- — Florida Division of Corporations (Sunbiz) filing
- — Federal Employer Identification Number (EIN) from the IRS
- — S-Corporation election (Form 2553) where appropriate
- — Operating Agreement (LLC) or Bylaws (corp) drafting
- — Florida sales tax + reemployment tax registration if applicable
- — Initial QuickBooks Online setup with chart of accounts
- — Reasonable-salary analysis for new S-Corp owners
- — Business-bank-account introduction letter
Outside our scope
- — Legal advice on contracts, partnership disputes, or IP — referred to attorneys
- — Trademark or patent filings
- — Industry-specific licensing (FL contractor, medical, real estate, etc.)
- — Local business tax receipt filings (varies by city/county — we point you to the right office)
- — Business banking opening itself (you visit the bank; we provide the documents)
§ How this engagement works
The path from first call to delivered work.
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§ 01
Entity selection call
Free 30-minute call to talk through your business plan, income expectations, partner structure, and goals. We recommend the entity type with the lowest lifetime tax and administrative burden for you.
Day 0–3
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§ 02
Filing + setup
Sunbiz filing, EIN, S-Corp election, operating agreement, sales-tax and reemployment registration, QuickBooks file built. Most engagements complete in 5–10 business days.
Days 4–14
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§ 03
First-90-day check-in
Review call at month 3 — bookkeeping cadence, reasonable-salary execution, retirement-plan timing, first quarterly estimated tax. Catches the common first-year mistakes before they cost you.
Month 3
§ FAQ
Questions we hear about new business formation.
Should I form an LLC or an S-Corp?
Can I do the formation myself online?
§ Related services
Often paired with new business formation.
§ S-Corporation Tax
S-Corporation tax as a specialty — Form 1120-S, K-1 issuance, annual reasonable-compensation memo, and maintained basis schedule. Single-shareholder bundle (corp + personal 1040) from $950.
See more
§ Bookkeeping
Monthly bookkeeping, bank reconciliation, and financial reporting for South Florida owner-operators. Clean books built around your S-Corp.
See more
§ QuickBooks Services
QuickBooks setup, training, cleanup, and ongoing support. ProAdvisor-certified for QuickBooks Online and QuickBooks Desktop.
See more
§ Payroll Services
Full-service payroll for Florida small businesses. Direct deposit, quarterly 941, annual 940, W-2s, 1099s, and reemployment tax.
See more
Ready to talk?
A 30-minute scoping call costs nothing.
Free 30-minute call to confirm fit. If we are the right firm for the work, we send a written scope and a flat fee. If we are not, we point you elsewhere.