Plant the Seeds. Reap the Benefits.
Social enterprise knows no boundaries when it comes to business formations. Much like traditional entity selection, choosing the right entity for your social enterprise hinges on the goods or services you provide, your projected size, and your goals and objectives for your company. With the right business entity, a social enterprise has the potential to flourish.
A business entity is a legally created organization that is formed to engage in a particular business activity. A business entity acts as a person: it can own property, have assets, sue, and be sued. Because it operates independently, a business entity can do business without harming the assets of the people who run it. Business entities come in many different varieties: corporations, LLCs, general partnerships, and new formations like Flexible Purpose Corporations and LC3s.
The social enterprise arena includes many traditional business entities such as corporations, LLCs and general partnerships. And, in response to the growth of social enterprise, we are seeing more variation among types of business entities, such as Flexible Purpose Corporations, LC3s and employee-owned cooperatives. Elliott & Davis, PC has years of experience determining the right fit for our clients’ ventures. We are excited to take part in shaping the next new wave of business structures.
If you have a desire to help the community with your business, we can help you create a social enterprise that is custom-fit to your specific goals. Contact us today to find out how!