The choice for form of business ownership can have significant legal and tax results. A business can be owned as a sole proprietorship, as a partnership, as a limited liability company, or as a corporation.
Corporations have different forms for taxation purposes.
Each form of ownership has advantages and disadvantages which should be discussed with a legal advisor. Federal, state and local taxation, including record keeping and reporting requirements. Land use and zoning laws affecting operations. Federal, state and local regulatory matters affecting business operations. This may be as simple as a local business license, or as complex as complying with state and federal environmental laws.