Starting a new business involves careful decision-making and thorough planning from the day the idea first enters your mind, to implementing your concept and getting the business up and running, and finally, to ensuring that your operation will remain a viable, thriving success.

One of the first steps in establishing a business is determining the appropriate structure which will affect taxation, legal and financial liability, and decision-making authority. There are three basic types of business models:

• a sole proprietorship
  
• a partnership
  
• a corporation 
  

Which is the appropriate type for your new business? You may wish to consult an attorney or an accountant for assistance. For more information on how to choose a legal structure, visit the North Carolina Department of Commerce.

North Carolina Department of Commerce 
301 N. Wilmington St. 
Raleigh, NC 27601-1058 
919.733.4151