Forms of Ownership in the United States

This article contains general advice on what form of ownership you should choose to register a business in the United States.

Sole Proprietorship - Private company (the entrepreneur bears full material responsibility). To register a Sole Proprietorship you will need a Tax Identification Number (TIN), which is an individual tax number.

Partnership - Partnership Company. A form of business where there are several co-founders business partners. Filing and registration is very simple. There are companies with limited liability and unlimited liability. With the first - material responsibility is borne only by those co-founders-partners, and for the amounts specified in the memorandum of association. At the second - all founders are financially responsible

Inc./C Corp - Corporation (similar to joint-stock companies, a foreigner can also buy shares). Limited liability. It is possible to attract financing and expert partners to the team by selling shares.

LLC - Limited Liability Company. At creation of LLC partners should choose a tax status for the company. There are no shares.

To understand what type of ownership you need to choose to start your own business in the U.S., you need to analyze the structure of the business, how you distribute profits, understand the upcoming development plans, etc.