Jun 18, · Three forms of business organization Analytical Essay. Exclusively available on IvyPanda. Available only on IvyPanda. Updated: Jun 18th, The three forms of business organization include sole Proprietorship, Partnership and Corporation. In a sole proprietorship, one individual owns and controls the business This discussion involves a business ethics case that companies and boards of director regularly face in conduction business. You should first read the case on pages 32 and 33 of your text entitled Oliver Winery, Inc. carefully and completely before attempting to analyze it. Second, you should identify the most important and ethical issues arising from the [ ] Jul 03, · A Business Organization Case Study. Betty can operate her business in various ways, which include a franchise, a sole proprietorship, a corporation, a limited liability company and a partnership. To start with, a limited liability (LLC) company is a business enterprise, which blends the characteristics of a partnership and a sole proprietorship
Three forms of business organization - Words | Essay Example
Sole proprietorship is a business run and owned by one person where the law does not distinguish the business from the owner. It is the easiest business to establish since there are no requirements that formally guide on how to start and the capital required is minimal. A sole trader gets to enjoy several advantages for running this type of business. For instance, the business requires minimum capital to start up as well as few formal requirements.
The tax returns procedure is also simple because the owner submits the business returns in business organizations essay personal business organizations essay form, business organizations essay. The proprietor completely controls the business so he can decide to sell or transfer it at his own discretion.
Sole proprietorship also has some cons. In its formation, this business is not a separate business entity which implies that the business ceases to exist when the owner dies or becomes disabled. This form of organization is said to have unlimited liability. The owner is therefore liable for obligations and debts of the business, business organizations essay.
Decisions are only made by the proprietor and this exposes him to the risk of making uninformed decisions unlike in corporations where decision making is collective. It is unlikely that investors will be interested in sole proprietorships which cause challenges in raising capital and this too works to its disadvantage. Partnership is a form of business organization where two or more parties come together to carry on a business or trade for mutual benefit. The partners share liabilities, business organizations essay, profits, business organizations essay and losses equally depending on whether one is a general partner or a limited partner.
General partners participate equally in daily management of the business business organizations essay limited partners take a bigger part in investing but are not involved in management directly. Profits and losses are shared amongst the partners after which each person is taxed individually. Partnerships do not have to be registered with the state hence are not expensive to start up unlike corporations.
A partnership is not entitled to corporate taxes because profits and losses are distributed amongst the partners and they are taxed individually. In general partnership, all partners are disadvantaged because they will be personally held liable in case the business incurs liabilities and debts. com Corporations are businesses that are created as a result of corporate law.
It acts as a separate entity such that it can transact, sue and be sued and do other things like paying tax separately from its owners. According to LLI n. It is also assumed that those corporations adopt bylaws to clearly outline obligations and rights of parties involved in its structure. Corporations pay corporate taxes which are relatively lower especially if the company is making huge profits.
Due to their large nature and structure, corporations attract investors as well as talented and skilled employees since it is capable of offering stock or options as an incentive. Corporations also have well defined structures that are operational, have a perpetual existence and transfer of shares is done freely. Dissolving corporations is a lengthy process that can business organizations essay be very expensive. Business Organization Paper — Essay Sample. The road to success is easy with a little help.
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Company Law - Forms of Business Organizations [Part I]
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Mar 19, · Each form of business organization has its advantages and disadvantages. Things that can be taken to consideration in choosing the type of business: your objectives in setting up the business organization, the amount of capital used up to set the business organization, level of control you wish to have, level of "structure" you are willing to deal with, Oct 09, · Which organizational form is most appropriate can be influenced by tax issues, legal issues, financial concerns, and personal concerns. This essay explains the general impression of business organizations. A Sole Proprietorship, also known as the sole trader or simply proprietorship, is a type of business entity that is owned and run by one individual and in which there is no legal distinction between the owner and the blogger.comted Reading Time: 6 mins Jun 18, · Three forms of business organization Analytical Essay. Exclusively available on IvyPanda. Available only on IvyPanda. Updated: Jun 18th, The three forms of business organization include sole Proprietorship, Partnership and Corporation. In a sole proprietorship, one individual owns and controls the business
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