Creating and structuring your entity is the first step towards defining how your business will be classified. Whether it be a limited partnership, general partnership, a corporation, or a limited liability company, these different classifications carry different legal and taxation consequences. As such, it is important that you understand the effect these classifications will have on your business before electing to proceed.
From a legal perspective, Pasha Law PC is able to structure the ownership, control, and economic terms of a legal entity regardless of the type and so often it is the tax treatment that governs the best entity for your company. With this in mind, there are certain entity structures that are better suited for certain situations. For example, a California business that expects to raise venture capital is likely going to want to form a Delaware corporation; whereas a company in Texas that wishes to raise private equity capital may be better suited to form a Texas limited partnership. A single purpose entity that may be fully owned by a parent company usually fits well with a domestic limited liability company and a join venture between two companies may do well with merely an unregistered general partnership. Each business is different and though the variables are infinite, there is no need to reinvent the wheel with Pasha Law PC.
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