Types of Business Forms - 1780 Words

How to choose the right type of Business form LAW/531 How to choose the right type of Business form Today’s business world has many choices for the new entrepreneur to decide from when forming a business. The choices are sole proprietorship, partnership, limited liability partnership, a limited liability company, a S corporation, a franchise, and a corporate form. Development of scenarios portraying each of these forms of business will aid the entrepreneur with deciding which form will be the best choice for the business. Sole Proprietorship â€Å"Sole proprietorship is the simplest form of business organization. The owner of the business the sole proprietor is the business† (Cheeseman, 2010 p.530) advantages to this form of†¦show more content†¦The formation of this type of form of business does require formal and public disclosure and has to comply with requirements set up by the RULPA or other state statutes. When forming this type of partnership Beth and Sam will need a certificate. This certificate must have to include the name of the limited partnership and the type of business this partnership will be. The certificate must show the address of the business and who will receive the formal legal notices regarding the business. Also included must be the name and business address of each general and limited partner, along with the date the limited partnership will dissolve. Lastly, the amounts contributed by each person and any future amounts that will be paid to each contributor must be listed. Formation of the limited Liability partnership does not commence until all of the paperwork is filed with the state and county and must have the proper certificate kept current for as long as the limited partnership is in existence. Beth, Sam, and their limited partners are doing well in their business and it is continuing to grow and prosper. Beth and Sam feel confident enough to move more in the direction of becoming a corporation, but yet feel they are not yet definite on corporation formation so in doing research they decide that they would move the company toward the formation of a Limited Liability company (LLC) Limited Liability Company A Limited Liability Company is neitherShow MoreRelatedTypes Of Legal Forms Of A Business1218 Words   |  5 PagesMaking business needs to adapt some legal form so that the corporate can operate the state legally, but it is not easy to know the right title that commercial need to carry for that reason must search all the forms and choose the right one that can progress future benefit. So, there are several legal forms that would need to be adopted for many reasons as a going to build a corporate, and it is important to know what we need to sell and the size of the operating company. The company must know whatRead MoreTypes Of Business Forms : Sole Proprietorships, Partnerships And Corporations2204 Words   |  9 PagesBUSINESS 4000 TEST 2 Submitted to: Prof. Heather Clarke Submitted by: Jordan Loder (Student no. 201213535) Date: July 21, 2016 INTRODUCTION When an individual chooses to start a business there are several business forms they may choose to take. The option that they chose to depends on several factors such as how much control an individual wishes to have within the organization and to what extent are they willing to be liable for the business’s actions. This paper will look at three types of businessRead MoreThe title of the essay is Business Ownership The question was: Name the three different types of Business ownership and name the advantages and disadvantages of each form.1597 Words   |  7 PagesBusiness Ownership There are three different forms of business ownership, the Sole Proprietorship, the Partnership, and the Corporation. Each of these businesses have major advantages and disadvantages. The sole proprietorship is a business which is owned and managed by one individual. Some of its advantages are, the ease of formation, its management control, and its distribution of profits. Some of the disadvantages are, its unlimited liability, the lack of continuity, the capital requirementsRead MoreAnalyze Political, Social, Ethical, and Legal Differences Facing Both Organizations and Determine the1344 Words   |  6 PagesMy Business Type Decision for a Successful Company Ernst Dorval American Intercontinental University Abstract This paper will evaluate the advantages or disadvantages of each business type with the business issues facing. It will discuss the management decision to make concerning which legal form of business that will facilitate my firm to succeed. Key words: Management decision, advantages, disadvantages, legal form of business. My business Type Decision for a Successful Company MyRead MoreUnderpinnings Of Business Law : Business1597 Words   |  7 Pages Underpinnings of Business Law Starting a business is an adventure that can be a lot of work, yet the end result from hard labor can result in a rewarding experience. Yet simply following the American dream can be full of road block, if one does not research ahead of time can end up leaning the hard way. In the day and age that we live in, trying to find out what fits the best for your business can be as simply as login on to Google. The most basic of research can provide one with how to selectRead MoreAnalysis Of Shania Jackson s Shania 1069 Words   |  5 Pagesprovide legal advice to include a spiritual outlook when considering how to best assist Shania in launching her new business endeavor. First, Shania will be shown the various business forms available and then ultimately be given advice on which form could best suites her goals. Next, her lawyer will discuss with her whether or not she should pursue an independent or franchise business option. Then, her lawyer will also take a look at the name sheâ⠂¬â„¢s considering for her coffeehouse â€Å"The Gathering Place†Read MoreThe Legal Forms Of Business1329 Words   |  6 Pageslegal forms of business, which consist of sole proprietorships, partnerships, and corporations. People can run a business in these three types of ways, which in some ways each type of business has its benefits and has its losses. Also, setting up a business needs to be planned out, and have expectations on how the business needs to run. People can’t just go out and start a business without having any plans. If a person did that, then that business would not last long at all. Picking which type of businessRead MoreThe Legal Forms Of Business997 Words   |  4 Pagesway, it can be said as they are in partnership type of business. The legal forms of the business are named UNINCORPORATED AND INCORPORATED FORMS AS: 1. Unincorporated form a. sole trader b. partnership c. trust d. franchise 2. Incorporated forms a. incorporated not for profit associations b. cooperatives (non-profit or business) c. company/corporation (registered under the corporation’s act 2001) The partnership is an unincorporated form of business as they are not incorporated under the corporations’Read MoreEssay on Legal Forms of Business939 Words   |  4 Pagesperson has an innovative plan to start a business. It begins with an idea but what should they do afterwards. If someone wants to start a business they must ask themselves several questions. What is the size of the business? What level of control do they want to have? What are the business risk and vulnerabilities? What are the initial startup expenses? All of these questions will help them decide which legal form of business they should choose. As a legal form can have significant implications forRead Morefinancial Accounting Essay1230 Words   |  5 Pageshobby into a business but have realized that you need start- up capital from a lender or investor. To obtain funding, you need to convince a lender / investor that your business is more than a hobby. You need to demonstrate that you have a firm grasp of your business, the accounting practices that impact your business, the controls needed to safeguard assets, and which accounting system will produce accurate and relevant financial information. Write a six to eight (6-8) page business plan in which