Sole Proprietorship Corporation ("C") (Inc.) Limited Liability Company (LLC) Number of owners Formation Easy -no federal/state government approval required - may need local licenses/permits (ordinances) Complex-regulated by Corporation Codes under federal and state laws Easy - requires Filings with Secretary of State including *Articles of Organization" filed (formal agreement) Management (Who/How) Start-up/ Financing Resources Taxation Profit Distribution Liability ('who' assumes) Dissolution Pros Cons LLC owners are referred to as 'members Partnerships Limited General (aka Ordinary, GP) Limited Liability (LLP) (Ltd., LP) Number of owners (aka partners) Formation Easy -no federal/state government approval required - may need local licenses/permits fordinances) (Partnership Agreement is optional) Easy - requires filings with Secretary of State - may need local licenses/permits (ordinances) (Partnership Agreement is optional) Management (Who/How Start-up/ Financing Resources Taxation Profit Distribution Liability I'who' assumes) Dissolution Edit Select All Smart Lookup Pros Cons