Which Entity Type Is Right For You?

March 7, 2013 Leave a comment

Which Entity Is Right For You?

Business entity type is an important decision for new business owners.  It is also important for existing business owners to periodically readdress in order to ensure the business is optimally structured.

Several business entity types exist.  Some of the common ones are:

  1. Sole Proprietorship
  2. Partnership
  3. Limited Liability Company (LLC)
  4. C Corporation
  5. S Corporation

So how do you determine the most appropriate way to structure your business? What is the best choice for you? Business Entity Structure

The truth is there is no one perfect business structure.  Each type has its own set of pros and cons.  The best entity structure for your business depends on a variety of tax and non-tax considerations.  In order to make the best choice for your particular business needs, it is important to have a general understanding of each entity type.

Throughout the upcoming weeks, we will take a look at some of the common entity types.  What are their advantages?  What are their disadvantages?  For those of you who are just setting out on your journey to owning your own business, this series will provide you with a general understanding of each entity type and equip you with the tools necessary to ensure you make the best decision for your particular business venture.  And for others who have already set out on this great journey of entrepreneurship, may you reflect and evaluate your business through this series and let it help you decide if your business is most appropriately structured for your particular business needs.

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About mayscpa
Michelle partners with small businesses and start-up companies to provide QuickBooks consulting, bookkeeping, and tax preparation service. As a QuickBooks ProAdvisor, Michelle assists companies in establishing and maintaining proper accounting systems, troubleshooting and cleaning up clients’ QuickBooks company files. Michelle enjoys helping her clients by equipping them with financial tools to help them to grow their business and bank more profits. Michelle is a licensed Certified Public Accountant in Florida and holds licensure as a Chartered Global Management Accountant. She has been designated as a Registered Tax Return Preparer by the Internal Revenue Service and is also a QuickBooks ProAdvisor with additional certifications in QuickBooks Online, QuickBooks Point of Sale, and QuickBooks Business Enterprise Solutions. Michelle is a strong supporter of education and professional development. She continues to expand her knowledge with ongoing professional education, keeping abreast of the latest accounting principles, tax laws and planning strategies. Michelle is a native of Bainbridge, Georgia. She is happily married to her husband, Derrik, who is a Technical Sergeant in the United States Air Force and is currently serving in the Air Force Reserves at Patrick AFB, Florida. The couple reside on a small farm near Tallahassee, Florida.

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