The owners provide you with the following facts about their business and its future.

The company, currently operated as a general partnership, is a small business that sells its products onlineto all 50 states and DC. The company plans to begin selling its products internationally. The company makes surgical instruments used in heart surgery. At this time, the company has no plans to make cash distributions to the owners. Instead, all earnings will be reinvested. The company projects losses in its first three years. However, its backlog has grown significantly and it expects significant profits in years following its start-up losses

You represent two owners of a prospective business. The owners come to you and ask you what type of legal entity they should choose. Using both the legal and tax considerations, recommend a form of legal entity and support your recommendation with details gathered from knowledge or other sources that support your recommendation. It is completely proper to present more than one option.