What is a Corporation?
A Corporation is a business structure that offers specific benefits, liability protection, and tax treatment for business owners.
Structural Comparison Matrix
| Structure | Liability Protection | Tax Framework | Complexity | Ownership | Best For |
|---|---|---|---|---|---|
| C Corporation | Limited | Pass-through | Moderate | Members | Various |
| Corporation | Limited | Pass-through | Moderate | Members | Various |
| Extra-Provincial Registration | Limited | Pass-through | Moderate | Members | Various |
| Foreign Qualification | Limited | Pass-through | Moderate | Members | Various |
| Limited Liability Company | Complete Personal Shield Protection | Flexible (Pass-Through or Corporate Election) | Low to Medium | Members (owners), flexible structure | Small Businesses & Startups |
| Partnership | Limited | Pass-through | Moderate | Members | Various |
| Partnership | Limited | Pass-through | Moderate | Members | Various |
| Persona Física con Actividad Empresarial | Limited | Pass-through | Moderate | Members | Various |
| Professional LLC | Limited | Pass-through | Moderate | Members | Various |
| S Corporation | Standard Corporate Shield Safeguards | Pass-Through (With Payroll Optimization Options) | Medium to High | Shareholders with restrictions | Profitable Small Businesses |
| Sociedad Anónima de Capital Variable | Limited | Pass-through | Moderate | Members | Various |
| Sociedad Anónima Promotora de Inversión | Limited | Pass-through | Moderate | Members | Various |
| Sociedad Civil | Limited | Pass-through | Moderate | Members | Various |
| Sociedad de Responsabilidad Limitada | Limited | Pass-through | Moderate | Members | Various |
| Sole Proprietorship | Limited | Pass-through | Moderate | Members | Various |
| Sole Proprietorship | Limited | Pass-through | Moderate | Members | Various |
| Unlimited Liability Corporation | Limited | Pass-through | Moderate | Members | Various |
Quick Facts
- Liability Protection Limited
- Taxation Pass-through
- Ownership Members
- Best For Small businesses
- Formation Cost $50 - $500
- Compliance Level Low
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