When deciding the type of business entity to form, a company must take into consideration different tax implications and the necessary protection level required regarding any potential exposures of liability. It is absolutely imperative to consult an attorney and a CPA/Accountant before forming a business entity. Selecting the right entity with the advice of these professionals can provide a business owner with a secure level of asset protection. With those important considerations in mind, the next ongoing blog entries will address the pros/cons and differences between some of the most common business entities.
Nevada recognizes the following business entities: sole proprietorship, partnership, limited liability company (LLC) or a corporation. Within those categories there are different options available. In regards to partnerships there is a: (1) general partnership (2) limited partnership (3) foreign limited partnership or (4) limited liability partnership. In regards to corporations, the most common types are a (1) C Corporation (2) Close Corporation and (3) S Corporation. Each of these entities will be addressed in upcoming posts.