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Selecting a Legal entity:
A brief Guide for the Business Person

Congratulations on being in business! The first thing that you need to decide is what kind of legal entity you are going to use to conduct your activities. There are four basic forms of business organziations to choose from:

1. Sole Proprietorships

2. Partnerships

3. Corporations, and

4. Limited Liability Companies 

 

Before selecting the form best for your business, you should keep in mind:

  • Potiential tax implications and savings depending on type selected
    • The legal protection of your personal assests and how to reduce the ammount  of personal risk 
    • The benefits and drawbacks of each type of legal entity
    • The impact of state law on legal entity selection and the related filing requirements
 
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