The Hudson family has a very successful family clothing shop. They believe that there is a great deal of growth opportunity and plan to eventually expand. After meeting with their lawyers and accountants, they realize they need to change their business structure to either a C or S corporation or a limited-liability company. They understand that both have limited personal liability.

Using the information in your text regarding the advantages and disadvantages of each, make a recommendation as to which you would recommend to the Hudson's. Provide at least three reasons for your recommendation and be prepared to defend your point of view.

We recommend that the Hudson's form a _____________________________.

a. C corporation

b. S corporation

c. limited-liability company

The rationale for our recommendation is as follows:

1.

2.

3.