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Video instructions and help with filling out and completing form 2553 instructions 2021
Hey what's up YouTube entrepreneurs houston here and you can see where i met that lincoln's but the reason I'm making this video is because I wanted to talk to you all about what I was telling you all about people setting their businesses up in LLC's and S corporations and in the previous video I told you that people that had money went in their business checking account and everything however they were not able to get a qualify for business loans and I keep telling you all stay away from business loans if you want funding and go after the business lines of credit in the business credit cards now that being said I have another gentleman he went into the bank he opened up his a business bank account like they told him to and so he was running money and his business bank account and he did over two hundred thousand under S corporation and they said well give us about six months and you'll be able to qualify for a business loan now six months went by he goes into the bank to apply for a business loan and they tell them no all right so he asked him why and they couldn't even tell him why well let me tell you something a lot of the underwriters excuse me not the underwriter but the people that you're talking to at the banks to the business managers and stuff a lot of them don't know the underwriters of their own bank so they don't understand the process so they couldn't even explain to him why he was being denied so then it actually did come down to his credit but also that again if he had been in a different structure he wouldn't even have to worry about his credit okay cuz he could have just used the financials to get the loan that he needed in order to help market his business he was using the money for whatever but at the same time you go to a bank and you have an over $200,000 and they're penalizing you because of the structure of your business this is the reason that I keep telling you all if you want to learn how to properly structure your business check out a three way funding you know click the link below the video so you can actually understand what it really takes to such a business up properly so I'm not gonna try to keep you all along but just so you all know that when you go to attorneys and CPAs and you tell them to structure you as a business ninety percent of the time they're gonna set you up as an LLC or an S corporation because their focus on minimizing your tax liability they're not thinking about you actually needed money to help grow your business so this is the reason a lot of people end up in LLC's and S.