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Choosing a Business Structure – Get to Know the Characteristics and Compliance Requirements of Your Chosen Entity
Your choice of business entity can have a big impact on the steps you need to take to ensure compliance with state regulations.
Whether you choose to form a limited liability company (LLC), limited partnership, limited liability partnership, corporation, S corporation, or even if you decide to do business as a sole proprietorship or general partnership, you’ll encounter unique formation, management, and compliance requirements. For example, you may need to appoint a registered agent or file annual reports. Other key considerations include whether you want to take advantage of pass-through taxation and avoid personal liability for business debts.
Use this handy chart to compare the basic characteristics and compliance requirements for each business structure so you stay compliant for the life of your enterprise.
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