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Small Business Structures

Jeff Cornwall: “StartupJournal has a story based on an NFIB
survey showing that S-corp is still the most common form of small
business organizational structure. Generally, it is still my choice of
default, although there are situations where an LLC or C-corp makes
more sense.”

From the article:

The most common form of legal organization is the Subchapter S corporation, according to a survey by the National Federation of Independent Business. About 31% use an S corporation, which provides the limited liability of a regular corporation, but business profits and losses pass through to owners, and they report them as part of personal tax returns. Business losses may help offset earnings that an owner and spouse might have from other sources.

   

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