Business Structures: The Facts & Figures

Although there a lots of very important questions that a business owner, or owners, must ask when starting a business, perhaps of one of the most important is:

How should I legally structure
my business?

In general, there are three principal considerations when choosing a business structure: (1) liability, (2) management, and (3) taxation. Unfortunately, the laws that affect some of these considerations – in particular, liability and management – vary significantly from state to state and are not uniform across the country. As a result, the information that follows regarding corporations, general partnerships, limited partnerships (LP), limited liability companies (LLC) and sole proprietorships is general.

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This brief post is by no means comprehensive. Always seek the advice of a competent professional when making important legal decisions.

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