Due to these issues, corporations are usually suggested for large, established businesses with multiple employees. For companies in this position, corporations offer the opportunity to sell ownership shares in the company through stock offerings. “Going public” through an initial public offering (IPO) is a major selling point for attracting investment capital and high-quality employees. Advantages of a limited liability company. When it comes to taking responsibility for a company's business debts and actions, the personal assets of shareholders are protected. Shareholders can generally only be held liable for their investment in company stock. Ability to generate capital. Corporations have an advantage when it comes to raising capital for their business: the ability to raise funds through the sale of stock. Corporate tax treatment. Corporations file their taxes separately from their owners. Owners of a company pay taxes only on the corporate profits paid to them in the form of salaries, bonuses and dividends, while any additional profits are assigned a corporate tax rate, which is generally lower than personal income tax.