The ins and outs of choosing a business structure
Abstract: Choosing the right structure for a company affects more than just the title on its business card. It also impacts how much the company pays in taxes, as well as its legal liability for debts incurred or business actions taken. Moreover, entity choice can change as a business grows, takes on more risk, and requires more capital and partners. According to the IRS, the most common business structures are sole proprietorships, partnerships, C corporations and S corporations. This article describes these, while a sidebar explains why LLCs are gaining attention.