Business Entities
Choose the right business structure for your Pennsylvania venture. Compare entity types, understand liability and tax implications, and access attorney-drafted formation documents.
Covering PA LLC Act (15 Pa.C.S. §§ 8811–8898), Business Corporation Law (15 Pa.C.S. § 1101 et seq.), and the Fictitious Names Act (54 Pa.C.S. § 301 et seq.).
Notice: Business entity selection and formation involve legal, tax, and liability considerations that vary by situation. This information is provided for educational purposes. Consult with a licensed attorney and tax professional for guidance specific to your business.
Entity Comparison at a Glance
Compare liability protection, taxation, formation costs, and governance requirements across all major Pennsylvania business structures.
| Entity | Liability | Taxation | Formation Fee | Formality | Best For |
|---|---|---|---|---|---|
| Sole Prop | Unlimited | Pass-through | $0–$70 | Minimal | Solo freelancers |
| GP | Unlimited (joint & several) | Pass-through | $0–$70 | Low | Small partnerships |
| LP | GP unlimited / LP limited | Pass-through | $125 | Medium | Investment vehicles |
| LLP | Malpractice protection | Pass-through | $125 + $520/yr | Medium | Professional firms |
| LLC | Limited | Flexible | $125 | Low–Medium | Most small businesses |
| C-Corp | Limited | Double taxation | $125 + pub | High | Seeking investors |
| S-Corp | Limited | Pass-through | $125 + pub | High | Tax optimization |
| Nonprofit | Limited | Tax-exempt | $125 + IRS | High | Charitable orgs |
| B-Corp | Limited | Standard corp | $125 + pub | High | Social enterprises |
Most Popular: Pennsylvania LLC
The LLC is the most popular choice for small to medium businesses in Pennsylvania. It provides limited liability protection for all members, flexible taxation options, and relatively simple management requirements—without the publication costs required for corporations.
Explore All Topics
Select an entity type or resource to access detailed guidance, PA statutes, formation steps, and attorney-drafted document templates.
Need Attorney-Drafted Business Documents?
LLC formation packages, operating agreements, articles of incorporation, bylaws, and more — drafted by a PA licensed attorney for your business.
Ready to Form Your Business?
Our attorney-drafted formation documents and interactive tools can guide you through the process, or get professional help with a consultation.
Content prepared under the supervision of a PA licensed attorney. Last updated April 2026.