Corporate law covers a wide range of business matters and is relevant to everyone in the corporate world, whether a shareholder, director or employee. Corporate lawyers may deal with various questions on the formation, organization, taxation and dissolution of a company, as well as the rights for all parties involved. Commercial transactions and corporate financing through either debt or equity also fall within this field.
Sam is stuck at home due to COVID-19 and is thinking of starting a side business. He has heard that he can choose from different types of business structures and wishes to know the pros and cons for each type.
In Hong Kong, the three common types of business structures are: sole proprietorship, partnership, and a limited liability company (LLC). The key factors that differ between these three include: liability for business debts, amount of taxation, public perception, ease of raising capital and more. Check this article for a more detailed comparison between the three.
Disclaimer: The article is for reference only and should not be construed or relied on as legal advice in whatsoever manner. Please engage a solicitor to seek formal legal advice. LegalClarus does not provide legal advice.