Transforming your business can be hard, but we're here to help guide you through the steps of becoming a well-optimized S-Corp. The first few weeks might be intense, but once you're over the initial phases, it'll be smooth sailing from there on out.
What to expect from the Formations Journey?
The Formations journey includes four major phases: Configuration, Onboarding, Ongoing Management, and Annual Taxes.
Configuration
In this phase, we will work with you to configure your business structure, form your LLC (if you don't have one), register your S-Corp with the IRS, open a business bank account and connect it to our systems, and finalize the basic data collection about your business.
Since this process involves several government agencies, we try to streamline it as best as we can but we are at the mercy of their internal processes. On average, we're able to expedite the process and get it completed in less than 30 days. We need your collaboration on getting the information to us in a timely manner, and we will do our best to limit the sessions during this stage to no more than two or three short (less than 30 minutes) sessions.
Onboarding
Once your business is fully configured, you will be introduced to your success manager and the Formations team that will manage your account. During the onboarding phase, we will try to learn as much as we can about your business situation, financials, goals, and most importantly, about you! Our goal during this phase is to bring you up to speed with how your S-Corp should work and how to make the most out of your Formations subscription.
By the end of the Onboarding phase, you should have a strong understanding of the mechanics of S-Corp, how to use Formations, the recurring engagements with your Formations team, and what you can expect to save on your taxes.
Ongoing Management
Our goal at Formations is that your financial back office is managed for you with as much involvement as you decide to have. From complete "auto-pilot" to full control. During the Ongoing Management, you will take payroll from your business, get financial reports, have access to your business documents, and once a quarter, you get a review of your business health and your projected tax liability for the year.
Formations is building software that will make your ongoing management and access to your information more streamlined and easy. As such, we release new features to your application and will let you know when and how you can achieve more with Formations.
Annual Taxes
A key benefit of joining Formations is the management of your taxes. Once a year, we will take care of your "tax season" needs, including the preparation and filing of your business taxes. If you decide to let us take care of your personal taxes as well, Formations will prepare and file your personal taxes (1040) as well.
The annual taxes phase is intense and includes several sessions to ensure we file your taxes on time and in full compliance with the most recent IRS guidelines. We work year-round to make sure we have as much information about your business as we can, so we get through "tax season" as smoothly as we can. However, despite our best efforts, we will still need your help to get you through the deadlines on time.
WHAT'S NEXT?
- Complete setting up your Formations Account
- Upload your Driver's License and last year's 1040 tax return
- Upload any additional documents that apply, such as: Articles of Organization, EIN Letter, Certificate of Existence, the 1120S, 2553, 940, 941, wage reports, etc.
- Complete signature packet (will be emailed to you when your entity is approved by the state)
- Once your Bank Account is opened, schedule your bank connect call (you will be emailed to schedule this after your bank account is ready)
DOWNLOAD OUR BEGINNER'S GUIDE TO RUNNING AN S-CORP
