Steve is currently a sole proprietor running a small retail store. He has been very happy with the legal and tax structure of his business, but recently read an article in "Retail Store Time" that told of a sole propriety who lost his business, his home, and most of his personal assets when a customer sued him for a personal injury that occurred in the store. What is Steve's best course of action?

1. Form a Limited Partnership and serve as a limited partner.
2. Form an LLC or S-Corp
3. Form a C-Corp
4. Forn a partnetship to share some of the personal liability with his partners.