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In some jurisdictions when a member leaves the LLC, that LLC is dissolved.Starting an LLC requires significantly more effort than forming a partnership and a business will probably want to employ a lawyer or at least consult a certified public accountant.

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Here's a rundown on all of your options: This is by far the most common and popular form of business in the United States - mostly because it's easy to start and manage.

Simply put, a sole proprietorship is an unincorporated business where there is no legal distinction between the company and the individual who owns it and runs it.

This is the business model most ecommerce merchants are using.

This business type is especially good for new ecommerce companies that have a low risk of liability.

Now it's important to note that LLCs can differ from one state to another, but generally speaking they are a hybrid business structure, combining the ease of a partnership with the liability protection found in corporations.

Owners, frequently called members, pay taxes on the LLCs profits directly and the LLC itself does not file taxes as a separate legal entity.

Each state has particular rules for corporations, but in general you'll need to register a company to be considered a corporation.

Once you're registered, corporations will need to pay local, state, and federal taxes that are filed separately from its shareholders.

The process of registering your company as one of the business structures that we're going to outline below is different in each state.

There are plenty of benefits to incorporating your business.

LLCs require a lot less record keeping than corporations do, provide some protection for the member’s personal property, and are burdened with fewer profit sharing requirements than corporations.

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