The paper is seeks to explain the roles of limited liability corporations as well as limited liability partnership. The essay further stipulates the circumstances under which one would choose one of the two when establishing my industry of choice which is a Medical Small Practice. There are various business entities that can be chosen by business owners; these include sole proprietorship, general partnership, limited partnership, registered limited liability partnership, limited liability company and business corporation. The choice on which to use in conducting business opt to be settled on after serious considerations. Limited Liability Corporation (LLC) entity has a blend element of partnership and corporate structures and is characterized with a liability-shield advantage of a corporation and the flexible tax-pass through advantages of a partnership (Noe & Smith, 1997). According to Bromberg & Ribstein (1995), Limited Liability Partnerships (LLP) an organization whereby persons in the partnership are fully cosseted from another member of the partnership liabilities. The organization is recognized as partnership for federal as well as state taxations.
