Choosing the Right Business Structure
Richard Rogers, EA| September 29, 2009
When starting a business one of the most important decisions facing you is what type of business structure to choose for your company. The decision can have many implications including how much you pay in taxes, the degree of personal liability you are exposed to, the ability to borrow money and raise capital, and the amount of paperwork required. The formation of your business is controlled by the state in which your business is organized and some business formation laws vary from state to state, so it is important to check with the state your business will be organized under for their specific laws and regulations. Also, the state will tax these structures differently, so make sure you check out the tax laws in the state(s) you plan to operate in.