What do I need to know about business structure options?

One of the first things you need to do is decide how to organize your business. Among your choices are a sole proprietorship, general partnership, and Limited Liability Corporation (LLC). Each type of business has different advantages, disadvantages, and tax consequences.

RESOURCES FOR THE DIFFERENT TYPES OF BUSINESS STRUCTURES

  • The Small Business Administration provides a good description of the advantages and disadvantages of each type of structure.
  • It is recommended that you consult a lawyer or any of the other small business advising centers. If you are a member of Mountain BizWorks, one of the benefits of membership is free, limited consultation with a lawyer and an accountant. The same is true if you are a client of the Small Business Center at A-B Tech. Take advantage of these free professional services.
  • The North Carolina Department of State has the necessary forms to set up a business. This is a good site to learn about North Carolina business licenses in general.
  • Business Link North Carolina has a resource page for the necessary documents to help set up your business as well.

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