Selecting Your Business Structure – Sole Proprietorships, Corporations, Partnerships – Which is Right for You? – Part 3 Partnership or LLP?
Partnership or LLP : How Should I Run My Business?
In our third installment of “Selecting Your Business Structure: Which is Right for You?,” we look at the pros and cons of the partnership structure. Should you run your business through a partnership or a Limited Liability Partnership (LLP)?
Below is a concise breakdown below of the advantages and disadvantages of each to get a clearer idea of what is best for your business. If you missed our earlier installments, read part 1 on the advantages and disadvantages of the sole proprietorship and part 2 on the advantages and disadvantages of the corporation.
The most common forms of business arrangements are a sole proprietorship or corporation. But is that the right structure for you?
Each of the partners is jointly liable for the debts of the business. Therefore, if a partnership incurs debts greater than its assets, creditors can look at the personal assets of the partners.
Click here for more information about each type of structure.
-Shira Kalfa, BA, JD, Partner and Founder
© Kalfa Law 2018
The above provides information of a general nature only. This does not constitute legal advice. All transactions or circumstances vary, and specified legal advice is required to meet your particular needs. If you have a legal question you should consult with a lawyer.