Given the circumstances you've described—particularly the high risk involved in the business venture—the wisest choice of business structure for Sophia and Mia would be a limited partnership or a corporation.
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Limited Partnership: This structure allows Sophia and Mia to have limited partners who can invest in the business without being personally liable for the business's debts beyond their investment. This could help them manage risk while still being actively involved in the business.
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Corporation: This structure provides limited liability protection, meaning that the owners' personal assets would generally not be at risk beyond what they have invested in the corporation. This is particularly advantageous in a risky industry as it protects their personal finances in case the business fails.
In summary, given the focus on risk management, either a limited partnership or a corporation would generally be a better choice than a sole proprietorship or general partnership. If they want more control but also limited liability, they might lean toward forming a corporation.
However, if a single choice must be made from your options, I would recommend the limited partnership for its balance of flexibility and protection against personal liability.