How do I establish a Subchapter S for a business that has three divisions/brands?
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However, if one of the brands tanks, it can affect the fortunes of the other brands as well. In addition, the decision of whether to form a Subchapter S corporation or an LLC (or even a C Corp) has legal implications for the future of the company.
If you have any thought of seeking investment capital to grow your business, you'll have a difficult time doing it with an S Corp. Speak to a business attorney to lay out all of the issues of formation and growth to confirm that this really is the right form for you.