An outline of the pros and cons of the various legal entities allowed under Oregon law. [***DISCLAIMER: THIS IS GENERAL INFORMATION, NOT LEGAL ADVICE. DO NOT RELY UPON IT AS A SUBSTITUTE FOR ADVICE SPECIFIC TO YOUR SITUATION***]
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Choosing Your Entity -- General Background
Choosing an entity should be one of the first decisions you’ll make when starting up your new business. It may seem easy to skip this step, and instead forge ahead as a sole proprietor, but this rarely makes sense. An entity protects your personal assets from your company’s creditors, and your company’s assets from your personal creditors. Moreover, creating an entity allows you to establish an independent credit history for your new business, and protect your new business’s property (including intellectual property). There are a handful of entities that exist, most of which are variations of partnerships or corporations; the other type is the LLC. There are corporate and tax advantages and disadvantages to each. These days the vast majority of new businesses choose to go with either a corporation or an LLC. I’ll mostly discuss those, but first I will touch on partnerships.
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Choosing Your Entity -- Specific Forms
For the whole article, please visit: http://www.mzclaw.com/blog/2008/12/choosing-an-entity/
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