A business is like a baby, it ALWAYS needs money As a business owner you will need to put your personal money into the business to either start the business or keep the business going.

You do NOT want to have to pay taxes on the personal money you put into your business 

For Example: If you put $10k of personal money into your business bank account to pay for expenses and your business made an additional $5k in revenue, then $15k of income will show on your business bank account. When your CPA/Accountant gets your bank statements they will "classify" the $15k from your business bank statements as "income" and you have to pay taxes on it.

We DON'T want that because only $5k (the sales) should be classified as "income" . The other $10k you just moved from your personal account to you business account should NOT be classified as "income", thus taxes should NOT be paid on your personal money.

 The LLC Kit provides the 2 documents you need to give your CPA/Accountant so they know what personal money you invested into the business and will NOT classify your personal money as income