How to Choose the Right Indigenous Business Entity in ARNA
A Practical Guide Based on Function, Jurisdiction, and Use
Choosing a business entity within ARNA (the Aboriginal Republic of North America) is not a cosmetic or branding decision. It is a jurisdictional, functional, and strategic determination that affects liability, taxation posture, banking, estate planning, and long-term continuity.
Many people approach entity selection with assumptions formed under state corporate systems or incomplete internet guidance. Within ARNA, those assumptions frequently lead to misalignment.
This guide explains how entity selection is actually determined within ARNA, based on what the entity is meant to do, not what it is called.
Start With Function, Not Labels
The first question is never “Which entity sounds best?”
The correct starting questions are:
What activity will this entity perform?
Will it hold assets or only operate?
Is the activity commercial, ministerial, or administrative?
Is licensing required?
Is the entity intended to be temporary or enduring?
Every entity within ARNA exists to serve a specific function. When function is misunderstood, structure fails.
Core Indigenous Entity Types Used in ARNA
Below is a comprehensive overview of all primary entity types used within ARNA governance and economic practice, including distinctions reflected in the draft guide.
508(c)(1)(A) Tribal Faith-Based Organization (FBO)
Primary function:
Governance, ministry, education, and community service
Used for:
councils and ministries
cultural and educational programs
donation-based activity
This entity serves as an ecclesiastical and jurisdictional anchor.
It is not used for private business operations or asset holding for personal commerce.
Tribal Unincorporated Association (UA)
Primary function:
Independent operations under Indigenous jurisdiction
Used for:
consultants and service providers
early-stage or low-overhead activity
sole-administrator operations
A UA may:
operate with one or multiple administrators
require a county-filed DBA for banking or public commerce
When operated by a single administrator, a UA may use sole-proprietor tax reporting, though the UA itself remains the entity.
Partnership (General or Indigenous Partnership)
Primary function:
Joint operations between two or more parties
Used for:
shared ventures
collaborative service offerings
temporary or project-based activity
Partnerships define:
shared authority
shared responsibility
shared profit and loss
They are selected when collective operation, not individual control, is intended.
Holding Company
Primary function:
Asset ownership and separation of risk
Used for:
owning intellectual property
holding equipment or accounts
separating ownership from operations
Holding companies do not operate.
They exist to own and control, not transact.
Tribal LLC (Tax-Exempt LLC)
Primary function:
Operational activity under Indigenous jurisdiction
Used for:
structured operations
internal commerce
liability separation
A Tribal (Tax-Exempt) LLC:
is not registered with the state
operates under Indigenous jurisdiction
may be paired with a holding company for banking
This structure is chosen when formal operations are required without defaulting to state jurisdiction.
Standard (State-Registered) LLC
Primary function:
Licensed or regulated activity
Used for:
regulated industries
professional licensing
public or governmental contracts
A Standard LLC is used only when required by the nature of the activity.
ARNA does not default to state entities unless necessity dictates.
Indigenous Irrevocable Trust
(ARNA Nationals & IPA Members Only)
Primary function:
Estate protection and long-term asset stewardship
Used for:
protecting qualifying assets
preserving estate intent
ensuring continuity
This trust is not a business entity and is governed by ARNA National Jural Society enactments. Eligibility is limited and intentional.
Why These Distinctions Matter
Problems arise when:
operating entities hold long-term assets
trusts are used for commerce
tax posture is mistaken for structure
state entities are used unnecessarily
ARNA’s framework separates:
operation
ownership
protection
This separation is deliberate and foundational.
The Role of Jurist Review
Entity selection within ARNA is not self-certifying.
Jurist review ensures:
correct jurisdictional placement
eligibility verification
alignment with ARNA enactments
coordination with estate planning
This process protects both the individual and the integrity of the system.
Join the Conversation
Entity selection is one of the most consequential decisions in Indigenous economic participation.
We invite informed discussion.
If this guide clarified distinctions you were previously taught differently, share your experience or questions in the comments.
Reflection prompt:
Which entity distinction was least explained to you before, and why do you think that gap exists?
Learn More
For deeper reference, review the following resources:
All materials are available in the Indigenous Legal & Economic Resource Library.
This article is educational in nature and does not replace individualized jurist review, ARNA determinations, or formal business documentation.