Business Structures in the US
01.Sole Proprietorship
This is the default structure for a single-owner business. It is easy and free to start, but offers no liability protection—meaning your personal savings and home are at risk if your business is sued or fails.
02.Limited Liability Company (LLC)
An LLC is highly recommended for small businesses. It creates a legal separation between your personal assets and your business liabilities. If the LLC faces debt or a lawsuit, your personal savings are generally protected. LLCs are registered with your state and have modest fees.
03.S-Corporations and C-Corporations
As your business grows, you can structure it as a corporation to raise capital from investors or optimize taxes. Work with an attorney to choose the right entity.