HiForms of OwnershipOne of the first decisions that you will have to make as a business owner is how the company should be structured. This decision will have long-term implications, so consult with an accountant and attorney to help you select the form of ownership that is right for you. In making a choice, you will want to take into account the following: * Your vision regarding the size and nature of your business. * The level of control you wish to have. * The level of structure you are willing to deal with. * The business vulnerability to lawsuits. * Tax implications of the different ownership structures. * Expected profit (or loss) of the business. * Whether or not you need to reinvest earnings into the business. * Your need for access to cash out of the business for yourself.
Jack is right about the accountant. Don t rely solely on Yahoo s Answers here for your solution. If you intend on making a serious business out of this it will be well worth your time and a few hundred dollars (at most) to consult with a good small-business accountant.Check online for small-business resources in your city or county. Many offer free resources such as consulting services to help individuals in your same position. This can be a great way to talk with professionals and get really valuable information without having to spend money for it.
There are many factors to consider like your citizenship and residency, location of the business, size of income, etc. You need proper counsel to get these issues resolved. Feel free to contact me for a free 30 minute consultation. I work with entrepreneurs and investors all over the world on proper entity formation.
