How to Choose the Right Legal Entity
Which legal entity is the right one for your new business? Here are the points to consider:
- Is limited liability protection important?
- The nature, size and growth path of the business.
- Likely sources of financing.
- Income tax issues.
A one-man operation can be run as a “dba” (doing business as) sole-proprietorship. Where there are a handful of venturers, a simple partnership agreement may suffice.
However, Ohio entrepreneurs should consider operating through a limited liability company (“LLC”).