Business Type

Type of Business Entity

By carefully considering the forms of business entity that are available and then intelligently choosing the most appropriate one, entrepreneurs can reduce exposure to liabilities, minimize taxes, and ensure that the business is capable of being financed and conducted efficiently. The primary factor in the choice of business entity is the degree to which the entrepreneur’s personal assets are protected from liabilities of the business; Export America also takes into account favorable tax strategies, such as maximizing the tax benefits of start-up losses and avoiding double layers of taxation; finally, to decide the Business entity we considers also the attractiveness to potential investors, and the initial costs (start-up and ongoing).

A business can be conducted as a corporation (including the S corporation, which has special tax attributes); a general, limited, or limited liability partnership; a limited liability company (LLC); or a sole proprietorship. Each state has its own laws under which businesses may organize and operate.

A sole proprietorship is a business owned by one person. It has little legal significance separate from its owner and usually requires no governmental filing except the “doing business as” statement, which discloses the name under which the business will be conducted and the owner’s name and address.
A partnership is a business carried on by at least two persons. A partnership is generally treated as a legal entity separated from its partners. A partnership can sue and be sued and can own property in its own name.

Let Export America guide you to choose the best entity for your business.

The primary factor in the choice of business entity is the degree to which the entrepreneur’s personal assets are protected from liabilities