Sign Up Now
Get instant access to over 1 million+ study documents
OR
Already registered? click here to login
By creating your account, you agree to our terms of service, privacy policy and student honor code.
¶ … Business Ownership
For an entrepreneur, deciding on what form of ownership a business undertaking should take may end up being a rather tough decision to make. This is essentially because each form of business has its own advantages and downsides. In this text, I will discuss four main forms of business including limited liability companies, corporations, partnerships and partnerships.
Sole Proprietorship
In Madura's (2006) own words, this is "a business owned by a single owner." In this case, the single owner of such an entity is entitled to all the profits the entity generates. However, such an individual is also responsible for all the obligations the entity might accrue. One of the main advantages of a sole proprietorship is that in this case, the single owner does not share the profits generated by the business with any other individual (Madura, 2006). Further, this form of business is easy to start as there are few legal bottlenecks associated with its formation. However, in this case, the owner of the business assumes an unlimited liability and hence should the business be unable to...
Further, attracting capital in this case is a challenge.
Partnerships
On the other hand, a partnership as a form of business is established when two or more people come together and initiate an activity of an economic nature in which case all the profits and losses generated in such an undertaking are shared equally. A partnership may be preferred over any other business formation because just like a sole proprietorship, it is easy to form and manage. Further, based on the fact that its ownership comprises of two or more individuals, it is considered easier to raise capital in the case of a partnership (Madura, 2006). However, on the other hand, this form of business is prone to slow decision-making as all partners have to agree on a certain decision before the implementation or adoption of the same Kicks off. Further, unlike sole proprietorships, partners still have to share the profits generated equally.
Corporations
According to Miller & Hollowell (2010), a corporation can be defined…
References
Madura, J. (2006). Introduction to Business. Cengage Learning.
Miller, R.L., & Hollowell, W.E. (2010). Business Law: Text and Exercises. Cengage Learning.
Business Finance Sources of Finance Sources of Business Finance Finance is the life blood of every business as all types of businesses need money at every stage of their operation. It is of vital importance particularly for the modern businesses which require huge capitals. Finance is actually the determinant of the firm formation and it not only influences the ability of any firm to enter in the market but also affects its performance
Entrepreneurship Introduction The company selected is Dar Almanthour for Fragrance. The company was established in the year 2000 by the owner, Mr. Therar AlTararwa. The key products retailed by the company comprise of Bakhour, perfumes, scents, perfume oil and designed boxes for formal events. It started off with his friend at work wanting to sell his own made up fragrance and offered Mr. Therar AlTararwa to sell these fragrances to his family
Business Pros and Cons of Partnership as a form of business Partnership is a form of business where one or more individuals come together for the realization of a common economic goal. As with other forms of businesses, there are numerous pros and cons that come with it. One of the primary advantages is the pooling of resources that can be used for the achievement of the common goal. These common resources
This allows for greater levels of planning and cooperation, and fills in the information gap that currently exists between the factory floor and the rest of the supply chain. Lexmark provides an example of waste. Recently, the company found itself with more than $1 million in scrap from one lot. Engineers had insufficient information to isolate and fix the problem, so were instead relegated to crisis control. With more accurate
" According to Short, Williams, and Christie (1976; cited by Van Den Hooff, Groot & De Jonge, 2005), Social Presence Theory notes that "communication media differ in the degree to which they can communicate (or simulate) the social presence of the communication partners through the use of social cues (both verbal and nonverbal cues)." This theory purports that if a medium can only communicate limited social cues, communication partners do
Entrepreneurship Research and Service Design (Interdisciplinary and Collaboration) a) Describe your group research and how it was developed. Our group examined the potential for revitalizing areas in the dilapidated metropolitan areas surrounding and within Detroit, Michigan. We developed various ideas that were geared to repurposing structures and materials found within them. It is common for abandoned structures to contain valuable raw materials, though much effort will be necessary to dismantle and refurbish these