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How to Structure Your Business

Sole proprietorship? Partnership? Corporation? Here's how to choose the structure that's best for you.

This story appears in the May 2002 issue of Teen Startups.

So you're getting ready to start a business. There's an important question you need to answer before you put up the "grand opening" sign--are you the owner, or will you have partners?

The owner of a business is responsible for taxes, debts, management decisions and contracts, so legal ownership is important. Since you usually have to be at least 18 to sign contracts, a lot of 'treps find they need an older person as a business partner or shareholder.

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