Choosing the right business structure is one of the first legal decisions an entrepreneur must make. Common options include:
1. Sole Proprietorship: Simple and easy to set up but offers no liability protection. 2. Partnership: Shared control and profits but also shared liabilities. 3. Limited Liability Company (LLC): Offers liability protection with flexible tax options. 4. Corporation: Provides strong liability protection but involves more complex regulations and taxation.
Each structure has its own legal implications, so it’s crucial to select one that aligns with the business goals and risk tolerance.