DaveF1006
Expert Alumni

Get your taxes done using TurboTax

 Yes, there are considerations to be made. Let's address these individually.

 

1. 100% ownership by the husband.

 

  • Pros: Simplifies decision-making and tax reporting since only one person owns the business. If your husband is the primary operator, this might align better with the reality of the business.
  • Cons: You lose any formal ownership, which could make it harder for you to make decisions or get benefits from the business's success.

2. 50/50 Ownership:

 

  • Pros: Equal partnership ensures both of you have a say in the business. It also keeps you involved in case you want to return to the business in the future.
  • Cons: Decision-making could become more complex if disagreements arise. Tax implications might also differ compared to sole ownership.

3. 51/49 Ownership (Woman-Owned):

 

  • Pros: Retains the "woman-owned" status, which could be beneficial if you decide to pursue certifications or contracts that favor women-owned businesses in the future. It also keeps you involved while giving your husband the majority stake.
  • Cons: If the business doesn't benefit from being owned by a woman and you don't think it will, this might not be needed.
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