What type of business structure do Lewis and Elliot have by incorporating as a partnership?

Lewis and Elliot, by incorporating as a partnership, would typically establish a Limited Liability Partnership (LLP) rather than a Subchapter S corporation. An LLP offers the benefits of limited liability, which means that the personal assets of the partners are protected from business debts and claims, similar to how a corporation functions while still allowing the partners to retain control over their business operations.

In a Subchapter S corporation, while the owners also benefit from limited liability, this structure involves a different tax treatment and typically has more formal requirements than a partnership. For example, Subchapter S allows for pass-through taxation, but it also comes with restrictions such as a limit on the number of shareholders and the requirement that shareholders be U.S. citizens or residents.

By choosing the partnership structure, Lewis and Elliot likely prefer the flexibility and direct operational control allowed by a partnership—facilitated by the LLP designation—over the more cumbersome regulations associated with a Subchapter S corporation.