Choosing a legal entity for a firm is a one-time event. Once a form of legal entity has been chosen, it cannot be changed.

Question

Quizplus · Accepted Answer

It is possible to change the legal entity of a firm through a process called entity conversion or entity structuring, depending on the laws of the state in which the firm is located. However, this can be a complex and costly process, so it is important to carefully consider the options before choosing a legal entity.

Choosing a Legal Entity for a Firm Is a One-Time