If you’re thinking of starting your own firm, you’ll be faced with a thousand questions–among the first: what capital structure is best? There are five main types of capital structures you may wish to consider. In general, the more freedom a structure offers, the less liability protection it affords. Before you land on any option, ask yourself these questions:• How large do I see my firm becoming? How much control do I want? How vulnerable will I be to lawsuits? What type of tax treatment do I want for my business? Do I want ready access to cash? If you want an easy-to-organize structure that gives you complete control, immediate access to cash, and has an individual income tax treatment, consider a Sole Proprietorship. However, there are some reasons why you may not want a sole proprietorship: In such cases, you may want to consider a partnership, which allows you to add lawyers, but retains some of the simplicity of a sole proprietorship. If you want to further limit your liability, consider a more complex structure. PC, LLC, LLP—these capital letters have some important implications for your firm. Professional Corporations, Limited Liability Corporations, and Limited Liability Partnerships all provide various layers of liability protection for business owners. And, of course, as you plan your firm, you will want to consult with your accountant as well as attorneys who specialize in business formation. You can also explore additional resources right here in the Law Firm Business Center at FindLaw.com. Law firm management, starting a law firm. http://link.brightcove.com/services/player/bcpid1431564413