Business entities serve non-tax objectives as well as tax objectives, and many clients need multiple entities to realize both in an efficient way. In this litigious climate, business owners need to consider methods of reducing their exposure to legal liability. Further, states are much more aggressive in pursuing nexus tax liability. Exploring when to run a business as a single entity or when to step up to multiple entities is a growing area of business and tax planning, and not just for large and public companies.