Business Entities - Part 2
Starting a business is a major undertaking, but the rewards can be tremendous. New business owners face a hundreds of decisions as they get their business off the ground, one of which is choosing which business entity to use. Last week, we examined several different options for incorporating your business , specifically General Partnerships, Sole Proprietorships, C-Corps, and S-Corps. This week, we are taking a closer look at the remaining options. Limited Liability Company A Limited Liability Company (LLC) has become a very popular entity choice when starting a new business. LLCs come with their own set of rules and regulations that govern their policies and procedures, but the advantages that they offer tend to outweigh the extra step of drafting and executing the necessary documents. A LLC requires the owners (typically called "members") to execute an operating agreement that outlines how the company will conduct its affairs. The success ...