How are most nightclubs structured?

[aa2202]

Are nightclubs set up as llc's or sole proprietorships/general partnership or??? Thanks!

[Havensloft]

I am set up as a LLC

[David]

My opinion....it depends on you and your current situation. You would need to talk to your attorney and accountant.

Here's the order that I feel most are operating.
1. Corporation (C or S)
2. LLC
3. Partnership (you need to have a majority control)
4. Sole Proprietor as a last resort

[aa2202]

Thanks for your replies. David, if set up as a c corporation, do you know anyways you could avoid tax at a corporate level?

[Rainee]

You should talk to an accountant and an attorney, but I agree with David that corporation and LLC are the most common.
Both of these structures have the advantage of limiting your personal liability, which is the main reason to have some kind of corporate structure.
There can be different tax implications to the different types of corporate structure, but it depends on your specific situation.

[MMorgan]

The most common is LLC as it is one of the easiest to set up, with a little more time I have seen many people take an S Corp and do quite well working almost like a sole proprietorship. Working under an S Corp you keep your self seperate from the business but at the same time you wont won't be taxed twice, and when you choose to sell your company an S corperation will allow things to go more smoothly by transferring share of the business, it is also easier to add partners to an S corperation rather than an LLC.
So, in summery: LLC easiest to establish, more complex when adding partners, slightly more complex when selling your business
S Corp: Little longer to establish, are not taxed twice, easier to add partners, easier to sell your business.
~MM