Choosing the right business structure is one of the first legal decisions an entrepreneur must make. Common structures include:
- Sole Proprietorship: Simple to set up but offers no personal liability protection. - Partnership: Shared responsibility but also shared liability. - Limited Liability Company (LLC): Combines the benefits of a corporation and a partnership. - Corporation: Offers limited liability but is more complex and expensive to set up.
Each structure has its own legal and tax implications, so consulting with a legal expert is advisable.