Many new business ventures develop without a great deal of planning and this lack of planning can result in predictable difficulties for the new business and contribute to its failure. The entrepreneur, the founder of the business, must decide which of these four structures best suits the type of business. In choosing your business structure, consult with both a qualified accountant and attorney who are familiar with your resources and objectives. While it is possible for a business to start under one structure and change to another later, proper planning can prevent the difficulties, expenses and operational problems which would result from such a change. Even when considerable thought and planning have been given to the initial structure, however, the entrepreneur should be aware that change of circumstances and conditions may require a change in structure even after the business is established and operational.
Continuous planning is essential during the growth of a business.
A description of the forms of organization and some of the advantages and disadvantages follow.