Posted by Ronnie on .
can you tell me if i am opening a videogame company. What will be my LLC, reason for selecting that entity.
Go over the pros and cons for a business to select an LLC over the other possible business entity types. Then ask, what business entity type is most suited for a upstart videogame company. And then you will have answered your question.
i don't understand
ok. First list the other possible business entity types. You could have: a) a sole proprietor, b) a general partnership, c) a limited partnership LP, a limited liability partnership LLP d) a limited liability corporation LLC, or d) a corporation. (We can throw a farm right out).
Rather than me listing the advantages/disadvantages, if found this web site that summarizes fairly well.
ct-clic (period) com / business / entity_definitions (period) h t m
One area not discussed in the web site is the ability of each type to raise capital. By issuing and selling shares, corporations can generally raise more money than non-corps. However the profits then need to be more broadly distributed.
Thats enough for now.