What about creating a legal partnership or a sole proprietorship?

Two other traditional legal entities are partnerships and sole proprietorships.

However, neither of these entities provide protection from unlimited liability and are not especially suited to small businesses utilizing the sharing economy. You can find more information about sole proprietorships and partnerships.

The foregoing is not intended to be, and should not be construed to be, tax advice. This website offers general answers to general questions based on information obtained from www.irs.gov and other publicly available information. Collaborative Fund cannot be held responsible for the results of any position taken on a tax return by any user of this site. Users should always obtain independent tax advice from a qualified tax professional to determine the tax consequences applicable to such user’s personal situation.