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Choosing the Right Entity for your Business

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Choosing the Right Entity for your Business

With the widespread administration of COVID-19 vaccinations happening across parts of the country, many are becoming cautiously optimistic of a return to some semblance of normalcy. Aspiring entrepreneurs are eager to ride the post-pandemic economic growth and use that momentum to help transform their unique and innovative ideas into successful business operations. In this article, we introduce a number of legal entities available to an entrepreneur, and to distill those entities into their most essential characteristics. We hope the information contained herein will be of use to entrepreneurs when selecting the most optimal business entity to begin his or her venture in California. This article follows a chart format which is designed to create a more user-friendly experience to help spot the similarities and differences between the various entity forms, including the stakeholders involved, protection against personal liability (i.e. limited liability), tax treatment, and what type of businesses each entity is best suited for. The information contained in this article is being presented as a service to the community and is not intended to constitute legal advice.

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