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MORE DECKS TO EXPLORE
PRESENTATION OUTLINE
SOLE PROPRIETORSHIP
an unincorporated business with one owner who pays personal income tax on profits from the business.
ADVANTAGES
- The government has very little control over it, making it able to be run very simply.
- Tax records and employment laws are the only forms of government regulation.
DISADVANTAGES
- You are the only person investing so it can be difficult to raise money.
- You bear the burden of all risks.
A SINGLE BUSINESS WHERE TWO OR MORE PEOPLE SHARE OWNERSHIP
ADVANTAGES
- You won't have to come up with all the capital on your own.
- Any losses will be shared by all the partners.
- Face very little goverment regulations.
DISADVANTAGES
- Have to share responsibilities and profits.
- The fear of being held legally liable for the errors of their partners.
CORPORATION
an independent legal entity owned by shareholders
ADVANTAGES
- Liability
DISADVANTAGES
- Very complicated to set up.
- Can be costly
LIMITED LIABILITY COMPANY
THE UNITED STATES-SPECIFIC FORM OF A PRIVATE LIMITED COMPANY.
ADVANTAGES
- Offers protection to its owners.
DISADVANTAGES
- The types of businesses may be limited by state law.
- A single owner cannot establish an LLC.
- Many states limit the life of an LLC to 30 years.
