Understanding Business Structures: Which Legal Entity Is Right For Your Startup?

Starting a new business is exciting, with many key decisions ahead. What will the business be called? Will you have a logo and a tag line? Who will be part of the team? Legal structuring decisions are generally not at the top of the list but one of the most crucial decisions is which legal entity should you choose?

You might be familiar with terms like, sole proprietorships, partnerships, and corporations but may not know which one suits your business best. This guide provides an overview of the most common structures for new companies. Naturally, each business has its unique objectives and requirements, and the optimal structure for your venture will depend on a variety of factors.