UEI COLLEGE GARDENA OFFICE BUSINESS ADMINISTRATION BUSINESS BASICS MOD. 130/TASK #5 FRANK EZENEKWE, MBA PRESENTED BY , NICOLE HUNTER
FORMS OF BUSINESS OWNERSHIP
FORMS OF BUSINESS OWNERSHIP
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SOLE PROPIERTORSHIP * ONE OWNER * OWNER ASSUMES ALL RISKS * OWNER MAKES ALL DECISIONS * THE OWNER CAN MAKE ALL DECISIONS * NO CORPORATE TAX PAYMENTS * FEW FORMAL BUSINESS REQUIREMENTS * ALL RESPONSIBILITIES * AND BUSINESS DECISIIONS FALL ON THE SHOULDERS OF SOLE PROPRIETOR.
PARTNERSHIP * TWO OR MORE PARTNERS * PARTNER SHARE RISKS * PARTNERS MAY DISAGREE ON HOW TO RUN BUSINESS * MORE CAPITAL IS AVAILABLE FOR THE BUSINESS, IT’S EASY TO CHANGE YOUR LEGAL STRUCTURE LATER IF CIRCUMSTANCES CHANGE. IF PARTNERS JOIN OR LEAVE YOU WILL PROBABLY HAVE TO VALUE ALL THE PARTNERSHIP ASSETS AND THIS CAN BE COSTLY.
CORPORATION * STOCK HOLDERS * STOCKHOLDERS HAVE LIMITED RISKS * STOCKHOLDERS MAY HAVE LITTLE INFLUENCE ON BUSINESS DECISIONS * OWNER’S PERSONAL ASSETS ARE PROTECTED FROM BUSINESS DEPT AND LIABILITY *MORE LEGAL FORMALITY, AND MORE STATE AND FEDERAL RULES AND REGULATIONS
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