I don't know whether to form an S Corporation or a limited liability corporation.

I'm starting a landscape maintenance business as a sole proprietor. I want to incorporate and to keep my business in the family. Would it be better for me to form an S Corporation or a limited liability corporation? I want my family to be shareholders, but I don't want to affect their taxes.
This story first appeared in the April 2014 issue of Entrepreneur. To receive the magazine, click here to subscribe.
It's entirely possible that once your family has an ownership interest in your business--regardless of the form--there will be an impact on their taxes.

Speak to a business accountant who understands these areas to determine the extent of the impact, if any, and which form will minimize the negative and "accentuate the positive."
View Comments (0)

Related Articles