If you are an entrepreneur who is looking for limited liability, there are a few options. One of the best ways to go about this is to form what type of company?
What kind of legal structure will work best for you and your business needs?
This blog post discusses when it may be beneficial for entrepreneurs with different goals to make the switch from one type of company to another. Content: [% content.title %] [% content.subtitle %] Company Type: Limited Liability Company (LLC) and Corporation What is a corporation? A company that has been formed as separate from the person who owns it, similar to how becoming an independent contractor would be different than if you were self-employed.
The owner of a corporation can share in profits without actually owning any shares or equity in the company – this means they are able to take on some risk but still shield themselves with limited liability, should something go wrong. Corporations have their own set of benefits and drawbacks which we’ll talk about later. For now let’s focus on when it may make sense for entrepreneurs to switch.