How to pick which structure works best for me?

The aim of picking the right entity type when entrepreneurs launch a startup is to choose an option that flows organically with your business goals. When you outline a business plan, it's essential to determine which of these four legal schemes suits your company's vision.

To achieve that, you first need to know your business purpose and the expected growth. Without clear-cut projections, you won't be able to make the right choice and skyrocket your company. Yes, it may feel like the weight of the world on your shoulders making such a decision. But the counterpart is that you can change the business structure at any time, and you won't be stuck forever in the initial choice. 

Whatever type you decide on, you have to form your business structure in accordance with the laws of the state where you are setting up your entity. Except for partnerships, all types of business entities need to file documents of organization with the state government. 

We advise any entrepreneurs in Latin America who see a future establishing a holding company in the United States to keep things as simple as possible. If possible, all common equity, no special rights outside of the ordinary, special voting rights etc. 

Watch our chat with Lizbeth Flores from PAG Law to learn more on “How to set up your startup for US Market Entry”.