How is this best achieved and what is the best structure?
Both existing and new are fine, but if you'll be investing into an existing business, be sure the investment is structured in compliance with the rules surrounding acquisition of QOZB interests. Existing will need to meet the 70% test for QOZBP, so evaluate each asset to make sure the QOZBP requirements are met.
Typically, the optimal OZ structure is a two-tier structure-- investors invest their gains into a qualified opportunity fund (QOF), which then invests in an entity operating a business (a qualified opportunity zone business (QOZB)). The QOZB can operate a new business or existing business (assuming it otherwise qualifies). It should be noted that (unless the QOZB is a corporation) the QOZB should NOT be 100% owned by the QOF. If it were, it would be disregarded for tax purposes and therefore unable to qualify as a QOZB.
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