It’s a shame that people can start a business without choosing a business structure (by default, it’s a sole proprietorship or partnership, in the case of two or more individuals, unless you file paperwork for other types of business structures). Most entrepreneurs aren’t well-educated on what each business structure’s benefits and drawbacks are, and many find out the hard way that a sole proprietorship puts them at risk.
So why do so many business owners not form a business structure right away?
5 Common Objections to Forming a Corporation or an LLC
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