A business’ legal structure is a set of laws that define how it functions, operates and distributes profits. It also outlines the liabilities of stakeholders, including shareholders, owners, employees and customers. There are four main types of legal structures: sole proprietorships, partnerships, corporations and limited liability companies (LLCs). Each structure has its pros and cons — so choose carefully. Your choice will affect taxes, liability, control and succession planning. It’s important to research your options before selecting a legal structure for your business. With the right information, you can make an informed decision and create a solid foundation for your company!