Product Description

Decide whether to form an LLC or a corporation -- the most important decision you'll make for your business

Your company has grown -- now it's time to upgrade your legal structure to something that will protect you and your assets, as well as provide other benefits. In other words, your business is ready to become either a corporation or a limited liability company.

The question is, "Which one?" The answer isn't always clear -- but because your choice will affect the legal and tax status of your business, it's the most important question you'll need to answer.

will help you make the right choice with plain-English explanations of:

the basics of business entities

how each business entity protects you from personal liability

profits, losses and tax treatment

converting from one type of business entity to another

what to do if you conduct business out of state

Making the right choice will affect your bottom line in many ways -- from what you pay in taxes to your ability to seek money from investors. In , you'll find real-world conversion and formation scenarios that show all the options available to you.

This edition has been thoroughly and usefully updated with the latest resources for business owners and contains completely updated information regarding the tax status of small business entities. All forms are now downloadable at nolo.com.