Ways to Organize a Business

"Based on their needs and intended business activities, entrepreneurs may choose from a variety of legal structures. The general, or 'C,' corporation continues to be the most common entity type, as it allows for an unlimited number of shareholders and usually limits a stockholder's liability to the extent of their investment in the company.

The limited liability company (LLC), which combines the corporate advantage of limited personal liability with the pass-through taxation advantage of a partnership, is also gaining popularity."

But if a general corporation or LLC is not suited to your business needs, there are other options.