Business Basics 101-Deciding on a structure

Forms of Ownership One of the first decisions that you will have to make as a business owner is how the company should be structured. This decision will have long-term implications, so consult with an accountant and attorney to help you select the form of ownership that is right for you. In making a choice, you will want to take into account the following:

• Your vision regarding the size and nature of your business.
• The level of control you wish to have.
• The level of structure you are willing to deal with.
• The business' vulnerability to lawsuits.
• Tax implications of the different ownership structures.
• Expected profit (or loss) of the business.
• Whether or not you need to reinvest earnings into the business.
• Your need for access to cash out of the business for yourself.