One of the important aspects of forming a business in Pennsylvania is deciding on the business form you will use. You have options, but the most common for a person forming a business by themselves is a sole proprietorship, as explained by Entrepreneur. This business form is the easiest to create because it requires no legal steps. You are operating the business as the sole owner, so you do not have to worry about partnership agreements. You are not forming a legal entity, such as a corporation, so you do not need to file any special legal documents in forming your business.

As a sole proprietor, you may only need to file forms to set up your business name if you are not using your name as the business name. You also have to handle taxes, licenses and permits, but you can do all this easily because you are the sole owner of the business and can sign all the necessary documents yourself. 

One thing about a sole proprietorship that may be worth considering is the liability. This business form makes you solely responsible for your business's debts. If your business ends up in a financial crunch, then creditors can go after your personal assets to collect. Under the law, you and your business are one and the same. You are also responsible for taxes by filing your business taxes with your personal taxes using Schedule C.

The good news is that you may start your business as a sole proprietorship and later change to a different business form, such as an LLC. This information is for education and is not legal advice.