Under Construction
Under Construction
Step 1: Choose A Legal Entity
A legal entity refers to any organization that possesses legal rights and responsibilities, independent of its owners or members. The choice of legal entity affects how a business is run and how it is seen in the eyes of the law.
Single Member LLC
Partnership
Corporation
No Legal Entity
Step 2: Choose A Tax Structure
Tax structures relate to the way an entity or individual is taxed by the government. Different legal entities might be subject to different tax structures. For example, corporations may be taxed differently from partnerships, and some entities like certain LLCs can choose how they want to be taxed.
Sole Proprietorship
Can Be Used by:
• No Legal Entity
• Single Member LLC
Cannot Be Used By:
• Partnership
• Corporation
Partnership LLC
Can Be Used by:
• Partnership
Cannot Be Used By:
• No Legal Entity
• Single Member LLC
• Corporation
S Corporation
Can Be Used by:
• Single Member LLC
• Partnership
• Corporation
Cannot Be Used By:
• No Legal Entity
C Corporation
Can Be Used by:
• Single Member LLC
• Partnership
• Corporation
Cannot Be Used By:
• No Legal Entity