7 Types of Business Structures Which One Is Right  for You

Sole Proprietorship 

Simplest form of business ownership, but has unlimited liability.

1

Partnership 

Owned by two or more individuals who share profits and liabilities.

2

Limited Liability Company (LLC) 

Offers personal liability protection and flexible management structure.

3

Corporation 

Separate legal entity from its owners with limited liability, but requires more formalities and taxes.

4

S Corporation 

Pass-through taxation for up to 100 shareholders and limited liability protection.

5

Cooperative 

Owned and controlled by its members, who share profits and decision-making.

6

Nonprofit 

Exists to serve a social or charitable purpose and is tax-exempt.

7

Franchise 

Business model in which the franchisee pays for the right to use the franchisor's brand and systems.

8

Joint Venture 

Partnership between two or more businesses to achieve a specific goal or project.

9

Publicly-Traded Company 

Owned by shareholders who can buy and sell stock on a public exchange.

10

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