Easily the most well-known entity, as well as most popular, Limited Liability Companies (LLCs) are private company structure that offer limited liability for its members. It combines pass-through taxation, commonly found in sole-proprietorships, with limited liability, commonly found in corporations.

An S-Corporation is a corporate structure with less than 100 shareholders. S-Corps are unique because they are a pass-through type of corporation. The corporation passes any credits, deductions, income, and losses to the shareholders.

S-Corp shareholders must report their income and losses on their individual tax returns and pay the accompanying taxes for their earnings.

A C-Corp is a corporation owned by shareholders. These shareholders elect a board of directors that will decide for the business and oversee its policies. It is a unique corporation as profits earned are taxed separately from its owners. It is also required to appoint a board of directors.