What corporate formalities ??? Seriously there is absolutely no difference between an S-Corp and an LLC being taxed as an S-Corp on the federal return. State issues may be different. If you do go down that road you have to close the current corp and re open in another entity under a different name and EIN ... what a total waste of time.
As to the assets ... since you expensed them they are not and should not have been listed as assets anywhere. If you actually do sell them the amount you get for them is simply regular business income.
