Mr. Eros operates an antique store located on the first floor of a four-story office building owned.

Mr. Eros operates an antique store located on the first floor of a four-story office building owned by Mr. Eros. The top three stories are leased to business tenants. Mr. Eros is considering giving a one-third interest in both the antique store and the building to each of his two grandchildren and operating the businesses in one pass-through entity. Mr. Eros wants to receive 100 percent of the rent from his tenants for several years but is willing to distribute one-third of the net profit from the antique store to his grand-children each year. On the basis of this objective, which form of organization should he choose?

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