Business setup
7 min · Updated Sep 2026
How the three common paths differ on liability, tax, banking and paperwork.
You and the business are the same legal person. Fast to start, harder to separate from personal assets. Fine for many solo practices and local shops.
A partnership with limited liability and MCA filings. Useful when two or more people will operate together without immediately needing ESOP-style equity.
The default for startups that may raise capital. More credibility with banks and marketplaces, and more compliance. Founders should budget time for filings, not just the incorporation fee.
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Use the business builder — two minutes, then a launch checklist.
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