The explanation of whether it is better to open a company or be a self-employed business owner is as follows:

1. The registered subject of a self-employed business owner is an individual and bears unlimited liability. If your company is in debt, even if the individual is bankrupt , will also pursue debts owed from previous operations until they are paid off.

Companies are generally registered as limited liability companies. If they encounter compensation arrears, they will only bear limited liability. If the company goes bankrupt, no legal person shareholders are required to bear it.

2. Self-employed individuals can only operate by themselves. They have no registered capital and shares cannot be transferred and can only be cancelled.

The company is a joint-stock system with registered capital and shares that can be transferred or transferred. Logout.

3. In the later stage of registering a company, you can set up a branch, buy shares in other companies, form a partnership with multiple people, or find investors to buy shares. Self-employed businesses cannot do this because they are just individuals.

4. Self-employed individuals mainly pay personal business income tax and value-added tax, which are relatively low tax rates.

The company mainly pays corporate income tax and value-added tax, which have relatively higher tax rates.

5. It is relatively simple to register as a self-employed person. There is no need to open a public account, no tax filing software is required, and tax filing is relatively simple.

The company registration procedure is more complicated, requiring tax filing software, opening a public account, and having a professional accountant responsible for filing taxes.

From the perspective of overall market development. Companies have become the mainstream of the market. The large companies we are familiar with are companies. Especially when doing business, many companies must cooperate with companies. The level of self-employed is too low and it is uncooperative. Self-employed is more suitable for small-level individual entrepreneurship, such as small businesses. Restaurants, hair salons, decoration teams, small supermarkets, etc., but with the changes in the market, some emerging industries have also joined in, such as micro-commerce, e-commerce, and Internet celebrities. They are basically personal activities, and you can register as a self-employed person, and self-employed people The tax rate is low, tax filing is simple, and it is more popular among individual entrepreneurs. However, whether to register a company or an individual depends on your industry and future development direction.