Business Ownership by Kaeleigh Otting https://padlet.com/kaeleighotting/key1wgcxlab2 Exploring Business Ownership en-us 2018-10-30 13:46:04 UTC 2018-11-06 14:51:54 UTC hello@padlet.com https://padlet-assets.s3.amazonaws.com/icons/Cornershop.png Investigate the Three Types of Business kaeleighotting https://padlet.com/kaeleighotting/key1wgcxlab2/wish/298500370 Sole Proprietorship - a business that is owned and managed by one individual who receives all the profits and bears all losses.
Partnership - a legal relation existing between two or more persons contractually associated as joint principles in a business.
Corporation - a business that is owned by stockholders and that has legal rights and responsibilities as if it were a person. ]]> 2018-10-30 13:52:09 UTC https://padlet.com/kaeleighotting/key1wgcxlab2/wish/298500370 Sole Proprietorship kaeleighotting https://padlet.com/kaeleighotting/key1wgcxlab2/wish/298507519 Examples of Sole Proprietorship: Landscaper, Computer Repair Services, and Tutoring.

Advantages:  Sole proprietorship's have functional and tax advantages compared to other business entities.  Easier to set up than other business entities.

Disadvantages:  In a sole proprietorship, the owner is personally liable for any debts or obligations of the business. This means that lawsuit claimants or creditors may have access to the owner’s personal accounts, assets, or property if any business accounts cannot cover his debt.

How to Start One: 
  1. Choose a business name.
  2. File an assumed name certificate with county clerk’s office.
  3. Obtain licenses, permits, and zoning clearance.
  4. Obtain an Employer Identification Number.
]]> 2018-10-30 14:03:19 UTC https://padlet.com/kaeleighotting/key1wgcxlab2/wish/298507519 Partnership kaeleighotting https://padlet.com/kaeleighotting/key1wgcxlab2/wish/298516322 Examples Of Partnership: Apple + Hermes, BMW + Montblanc, and Ford + Hearst.

Advantages: Your business is easy to establish and start-up costs are low. More capital is available for the business.

Disadvantages: Each partner is ‘jointly and severally’ liable for the partnership’s debts; that is, each partner is liable for their share of the partnership debts as well as being liable for all the debts. There is a risk of disagreements and friction among partners and management.

How to Start One: 
  1. Step One: Make Decisions About Partners.
  2. Step Two: Decide on Partnership Type.
  3. Step Three: Decide on a Partnership Name.
  4. Step Four: Register Your Partnership With Your State.
  5. Step Five: Get an Employer ID Number.
  6. Step Six: Create a Partnership Agreement.
]]> 2018-10-30 14:15:41 UTC https://padlet.com/kaeleighotting/key1wgcxlab2/wish/298516322 Corporation kaeleighotting https://padlet.com/kaeleighotting/key1wgcxlab2/wish/298909415 Examples of Corporation: 7-Eleven, AT&T, And Auto Zone

Advantages: Deduct the cost of benefits it provides to employees and officers. Some corporations may be able to elect treatment as an S corporation, which exempts them from federal income tax other than tax on certain capital gains and passive income.

Disadvantages:  Forming a corporation requires more time and money than forming other business structures. Governmental agencies monitor corporations, which may result in added paperwork. 

How to Start One: 
  1. Choose an available business name that complies with your state's corporation rules.
  2. Appoint the initial directors of your corporation.
  3. File formal paperwork, usually called "articles of incorporation," and pay a filing fee that ranges from $100 to $800, depending on the state where you incorporate.
  4. Create corporate bylaws, which lay out the operating rules for your corporation.
  5. Hold the first meeting of the board of directors.
  6. Issue stock certificates to the initial owners (shareholders) of the corporation.
  7. Obtain any licenses and permits that are required for your business.
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