Dental Entity Formation
As with most things each entity has its pros and cons. Below is a list showing how each entity differs.
- Sole Proprietorship
- Least initial cost
- Maximum Personal Liability
- Personal Taxation
- One member needed
- No associated lettering
- Partnership
- Second least initial cost
- Needs two or more members
- Some limits to Personal Liability
- Personal Taxation
- Associated with “LLP”, “LP”, “GP”, or “Partnership” lettering
- LLC (Limited liability company)
- Highest startup cost for entity formation
- One member needed
- No Personal Liability
- Annual Meetings
- Personal (Pass Through) Taxation
- Associate with “LLC” lettering
- Corporation
- Highest startup cost for entity formation
- One member needed
- No Personal Liability
- Annual Shareholder Meetings
- Specific requirements for meetings
- Corporate Taxation
- Associated with “Inc.” lettering
Recent Comments