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business formation & planning Archives

Carefully consider the options when forming a business, P.2

Last time, we began looking at the topic of business formation and the various types of entities available. As we noted, selecting the correct business form is critical to ensure the success of a business, as it impacts important things like, ownership, liability, and taxation.

Carefully consider the options when forming a business

Forming and building up a business involves a lot of very practical considerations, and a lot of these considerations are tied up with the legal form the business takes. The type of business entity an entrepreneur chooses to form affects various areas of concern, including taxation, ownership, reporting requirements, and liability.

Pros and cons of business entity types

When starting up a business, choosing the structure that best aligns with your goals is one of the most important decisions to make. While there are many entity choices available, understanding each one's functions, benefits and downsides can help guide you in the right direction. Here are some common business types to consider:

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