When your accountant or attorney wants to discuss entity choice, they are referring to the various types of business entities or structures available. Generally speaking, the relevant options available for most businesses including start-ups are:

Entity choice is important for many reasons. Asset protection and tax considerations are always near the top of the list. As a business progresses through the five (5) phases of a life cycle: start-up, growth, maturity, renewal/rebirth/decline and succession– the factors that earlier prompted a particular choice of entity may change. And, a new entity choice may become more appropriate.