How Do I Know Which Type of Business Is Best For Me?

Choosing the type of business that's right for you can be a difficult decision. There are tax and liability considerations, director and ownership concerns, as well as state and federal obligations that are different for almost every business on file with the Department of State.

The following is a brief explanation of the business entity you may be considering for incorporation. We hope these guidelines help you make a confident, informed decision.

CORPORATION

LIMITED PARTNERSHIP

LIMITED LIABILITY COMPANIES (LLC's)

LIMITED LIABILITY PARTNERSHIP OR REGISTERED LIMITED LIABILITY LIMITED PARTNERSHIPS (LLLP'S)

LIMITED PARTNERSHIP ASSOCIATIONS (LPA'S)

CONVERSION OF LIMITED LIABILITY COMPANIES TO LIMITED PARTNERSHIP ASSOCIATIONS

Under the Act, LLC's may convert to LPA's in the same fashion that they could convert to partnerships or limited partnerships under the Limited Liability Company Act.

REMEMBER THAT THIS PUBLICATION IS ONLY A GUIDELINE, NOT AN INTERPRETATION.

ALWAYS USE THE COLORADO REVISED STATUTES AS YOUR LEGAL REFERENCE.

YOU SHOULD CONSIDER CONSULTING WITH YOUR LEGAL REPRESENTATIVE AND/OR ACCOUNTANT BEFORE CHOOSING THE TYPE OF BUSINESS WHICH IS BEST FOR YOU.