Not sure which entity is best for your business? Use this chart!

July 18, 2024 - 2 minutes read
Business Entity

Are you a business owner or entrepreneur trying to decide which entity structure is the best fit for your needs?

Navigating the complex landscape of business entities can be challenging, but our detailed Entity Comparison Chart provides a clear, concise overview to help you make an informed decision.

Why this chart is helpful

  • We break down the essentials of each business entity type, including single-member LLCs, partnerships, S corporations, and C corporations, into easy to understand summaries.
  • It highlights the filing forms, tax treatments, advantages, and disadvantages of each entity type. This provides you with a balanced view that is crucial for making a strategic choice.
  • From understanding the administrative burdens to recognizing the potential tax benefits & drawbacks, this information will offer practical insights that are applicable to your business scenario.

What you’ll learn

  • Single-member LLC/sole proprietorship: Discover why this simplest form of business structure is favored by many solo entrepreneurs, while understanding the trade-offs regarding self-employment taxes.
  • Partnerships: Learn how partnerships can benefit from pass-through taxation and the nuances of general vs. limited liability within this structure.
  • S Corporations: Find out how S-Corps can save on self-employment taxes and the importance of reasonable compensation for shareholders.
  • C Corporations: Understand the pros and cons of a C-Corp, including the flat corporate tax rate and the implications of double taxation on dividends.
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Next Steps: We can guide you!

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