There are multiple types of legal entitles you can potentially form when you create your company.

In our courses we teach you how you can set up an LLC for your high ticket store.

However if you are curious about your options, we've put together this guide.

LLCs, C-corps, and S-corps are all different types of business entities with distinct characteristics in terms of taxation, liability protection, ownership structure, and operational flexibility.

Taxation: By default, LLCs are treated as pass-through entities for tax purposes. This means that the profits and losses of the business "pass through" to the owners' personal tax returns, and the business itself does not pay federal income tax. However, LLCs have flexibility in how they can elect to be taxed, including the option to be taxed as a corporation.

Liability Protection: LLCs offer limited liability protection to their owners (known as members), shielding their personal assets from business debts and liabilities. However, this protection may not be absolute in cases of personal wrongdoing or negligence.

Ownership Structure: LLCs have a flexible ownership structure and can be owned by individuals, other entities, or a combination thereof. There are typically no restrictions on the number or type of owners (except for certain restrictions on ownership by foreign individuals or entities).

Operational Flexibility: LLCs offer operational flexibility in terms of management structure and decision-making processes. They are not required to hold regular meetings or adhere to strict corporate formalities.

Taxation: C-corps are separate taxable entities, meaning they pay corporate income tax on their profits. Shareholders also pay tax on any dividends they receive from the corporation, resulting in potential double taxation. However, C-corps have the ability to retain earnings within the corporation and reinvest them without immediate tax consequences.

Liability Protection: Like LLCs, C-corps offer limited liability protection to their shareholders, shielding personal assets from business liabilities.

Ownership Structure: C-corps have a more rigid ownership structure than LLCs, with shares of stock representing ownership interests. There can be an unlimited number of shareholders, and ownership is transferrable through the buying and selling of stock.

Operational Structure: C-corps are subject to more formalities and regulatory requirements than LLCs, including the need to hold regular shareholder meetings, maintain detailed corporate records, and adhere to specific corporate governance rules.

Taxation: S-corps are also pass-through entities for tax purposes, similar to LLCs. They do not pay federal income tax at the corporate level; instead, profits and losses "pass through" to the shareholders' personal tax returns. This avoids double taxation.

Liability Protection: Like C-corps and LLCs, S-corps offer limited liability protection to their shareholders.

Ownership Structure: S-corps have restrictions on ownership and structure that C-corps do not. For example, S-corps cannot have more than 100 shareholders, and shareholders must be U.S. citizens or residents.

Operational Structure: S-corps are subject to similar operational formalities as C-corps, including holding regular shareholder meetings and maintaining corporate records.