ENTITY FORMATION
Let us incorporate your business. Especially in light of the recent overhaul to the U.S. Tax Code, understanding the benefits and pitfalls of incorporating or forming an LLC is more relevant than ever.
A business entity simply means an organization that has been formed to conduct business. However, the type of entity you select for your business will determine how your company is structured and how it will be taxed. Therefore, you will want to use careful consideration when it comes to the selection of the entity type you use to operate your business.
The chart below will provide a brief summary of the various entity types a business owner can choose from.
Sole Proprietorship
Unincorporated business with one owner or jointly owned by a married couple
Unincorporated business with one owner or jointly owned by a married couple
General Partnership
Limited Partnership
Registered business composed of active, general partners and passive, limited partners
Limited Liability Company (LLC)
Registered business with limited liability for all members
C-corporation
Incorporated business composed of shareholders, directors and officers
S-corporation
Incorporated business that is taxed as a pass-through entity