Sole Propriatorship
Sole Proprietorship

Changing a company organization from a sole proprietorship to an LLC

Advantages

By converting to a Limited Liability Company, an organization is entitled to a number of advantages in the form of benefits. The owner of a business is entitled to receive protection of the entire business unlike in the sole proprietorship. The informality of the business structure is kept under check even with this transformation. As a sole proprietor, there are limited liability to debts and obligations. There is a likelihood of losing property in case the business is sued. With LLC, the business has limited personal protection from debts and other challenges. With LLC, there is an open opportunity to raise capital unlike in a sole proprietorship. Continuity is another facet that is required of every business.

When a business or company shifts from being a sole proprietor to an LLC, it attains growth and development parameters needed for….

Sole Proprietorship Before Referencing
Family business structures

In businesses that involve numerous members of the same family, the preferred business choice of conduct is the partnership. hat advantages may occur for the family members by conducting business in this form?

One of the advantages of constructing a joint proprietorship or partnership for a family business is that unlike a sole proprietorship, liability is divided equally between all family members.In other words, if the business should fail, no single individual is solely responsible for all of the financial obligations incurred by the business. Individuals in a joint proprietorship are only as liable under the law in proportion to their ownership or investment in the business. This enables certain members of the family to be more responsible for the actions of the business than other members.

For example, through the construction of a limited as opposed to a general or equal partnership, the elderly widow of….

Business Types
L. Jones

Sole Proprietorships, Corporations, and Partnerships:

Just what are they?

One of the first decisions any individual or group of individuals must consider when starting or joining a business, is the legal form the entity will take. In the United States, as in many other countries around the world, the three main forms of business structures are the sole proprietorship, the corporation, and the partnership. Further, each type carries with it specific advantages as well as disadvantages.

In the first business model, the business is owned and operated by the individual. This means that, in effect, the individual in question is the "sole" owner and operator of the business. There are several advantages to this structure.

First, sole proprietorships are easy to form. In the sole proprietorship, there are few limitations on formation, and there are a small number of forms to complete, usually in the local governmental offices (city or county). Secondly,….

Legal Terms
Sole proprietorship- In a sole proprietorship, one person owns all of the business assets and is the sole decision maker. The sole proprietor has unlimited personal liability for business debts, and all profits and losses pass through the business to the owner (Bouchoux, 2007).

General partnership- In a general partnership two or more people co-own all business assets and share decision-making power. Each partner has unlimited personal liability for business debts, and can be subject to pass-through taxation (Bouchoux, 2007).

Limited partnership- In a limited partnership one or more general partners have unlimited personal liability for business debs and obligations, but limited partners do not manage or control the enterprise and are only liable up to the amount of their investment in the company. Limited partnerships must be created according to state laws (Bouchoux, 2007).

egistered Limited Liability Partnership- Partners in this type of partnership are not liable for the torts….

("Definition of a Corporation")
A fourth advantage of a corporation is that it is easy to raise various forms of financing. The structure of corporation allows it to be owned by large numbers of individual (shareholders). This is significant, because it means that a corporation can use the public markets to be able to raise investment capital. As a result, some corporations have the potential to raise billions of dollars through the public markets using such financing methods. ("Definition of a Corporation")

Drawbacks

There are number of different drawbacks of corporations the most notable would include: there are more costs for establishing such entities, there are formalities and there is unemployment insurance. In general, the costs for establishing a corporation can range from a few hundred dollars to thousands of dollars in legal fees. As there will be time spent filing all of the appropriate paperwork with the courts and the state.….

Business Organization
When determining which form of business organization to adopt for one's business, it is important to consider a number of variables before making a decision. These factors can include: the level of control the owner wishes to have, the structure of the company, the company's level of vulnerability to lawsuit, expectations of profit/loss, and whether there is a need for re-investment of capital back into the company. These considerations can greatly impact the form of organization one chooses. For the case of West Casing, these factors when addressed point to an S Corporation being the best option for Steve West and his 6-man crew. This paper will explain why and S Corp would work for West.

The chief characteristics of the S Corporation are that the business is set up as a separate entity (so in the unfortunate event that there is a casing leak and the company is sued,….

EdTech Business IdeaIntroductionThis paper discusses the concept of a sole proprietorship in the online educational technology, or edtech, sector. This type of business would present numerous opportunities for growth and innovation, particularly given the increasing demand for remote and personalized learning experiences. However, there are many areas to consider, from regulations and requirements to competitive advantage.Regulations and RequirementsStarting a sole proprietorship in the field of edtech entails navigating several legal and administrative procedures. First, the business owner can operate under their own name or register a Doing Business As (DBA) name, which varies state by state. Second, obtaining a business license from the local city or county is required, and depending on the state, a state business license might be necessary (Edge et al., 2023).Although it is not mandatory for sole proprietorships without employees, securing an Employer Identification Number (EIN) from the IRS is often advised, as it can help….

Introduction
No business can get off the ground without a business plan.  Even if you are not showing it to investors, it helps provide you with peace of mind and a sense of what’s needed.  Most entrepreneurs never achieve success in pursuing their dreams because they don’t know how to arrange their business plan in a way that makes sense.  That is why we’ve put together a business plan outline template for you.  With this template, you’ll have no problem addressing the most essential elements of your business plan.  Use this outline and get your business up and running today!

Business Plan Outline Template

I. Problem

a. What is the market problem you want to solve?

b. Why hasn’t the problem been addressed by others?

II. Solution

a. How do you intend to solve it?  

b. What product or service are you offering?

III. Market

a. What is the market?  Who is the target population?  

b. Where are you setting your….

Business: Why Do I Need Help To Build My Business?Starting a business requires help since there is a plethora of information that other concerned people can provide. For example, a financial manager or accountant can help estimate how much cost would be required for a start-up. Financial advisory, aid in making suitable cash flows, and systematic and strategic thinking needed for running a successful business are needed as a huge help from any trusted advisor. Planning and gathering information is the first step before entering into any business for which help is needed. Even moral support from a spouse is the help one needs in the entire process. Family and friends are the primary and foremost help that one can get in starting a small business and continuing to grow. Significant personal choices and having someone to back them is the key to success any business could need. Handling tough….

These elements are important, because they are showing how these kinds of entities are ideal for a group of individuals that will be directly involved in the business. As, they want to maintain operational control; but they want some kind of: division of labor, responsibilities and financial contributions. ("Incorporation") (Hernandez) This is similar to a proprietorship in that it is easy to establish and there are less regulations. However, partnerships are different, because there is stated contract that defines the percentage of ownership and liabilities for these kinds of organizations.
Corporations

A corporation is considered to be a separate legal entity. As, these kinds of organizations are: responsible for their own activities, they can take on debt, enter legal agreements, own property and they are also liable for any taxes as a business. This means that the firm will pay taxes on all income that is received. At the same time,….

New Invention
Business Environment

Legal, Social, and Economic Environments of New Product Development

There are three basic forms in which of businesses can be organized: sole proprietorships, partnerships, and corporations. There are also many different versions of each form. For example, there are many different kinds of corporations. However, based on the scenario represented for the individual who has an idea for a product a sole proprietorship would most likely represent the ideal form for the individual to get started with and if the product does turn out to be a success then they could always reorganize the business later on. Although the individual has an idea for a product that he believes will be a success he does not have a lot of capital to launch a major product development campaign. Furthermore, although the economy is recovering, the external environment is still plagued with high levels of competition and many industries are….

Business Structures
Corporation business structures

Preference of Corporation Business Structure Over Other Known Structures

In this paper, we will choose the corporation business structure as an ideal choice for the firm McDonalds in order to carry out its operations. We will define the merits which a multinational firm like McDonalds can take advantage of if because of this structure, also we will have an in-depth look on other structures such as sole proprietorship and partnership and focus on their strengths and weaknesses.

eview of Sole Proprietorship and Partnership

Let's review the structure of sole proprietorship first, it is regarded as one of the least expensive and easiest way to start any business as compared to corporative and partnership structure. Here the overall business as well as the business owner is viewed legally as a same entity. This however has its own disadvantages which in our chosen case of McDonalds could result in many risks for….

, 2010). Where there is the sale of shares, there is also a great potential that the existing owners will have little control over who the shares are subsequently sold to, especially in a quoted company. The firm will also be subject to the Sarbanes-Oxley Act (SOX), which was also known as the "Company Accounting eform and Investor Protection Act," in the Senate (Libby et al., 2010).
3.

Decision for the Business

As the business is a new idea, and will initially only involve a single person, the idea of a partnership may be eliminated. This leaves sole proprietorship and corporation. If there is to be only one owner the S-corporation may be used, as this may accommodate a single shareholder. This structure may be attractive as the business will be a separate entity, especially as the owner will not carry any personal liabilities for the business debts. However this is costly to….

Legal Structure of Business
For a McDonalds franchisee, there are three options. The franchise can be operated as a sole proprietorship, a partnership, or a corporation. The real issue is not that there are options, but which option should be chosen. It is not always possible to make that determination easily, since there are many factors that have to be considered in each choice. A sole proprietorship is operated by one person. That person is solely responsible for the business, and there is no complex legal structure. That person can reap all the profits and rewards, but he or she also shoulders all the liability for any lawsuits or other issues that might go wrong. In a partnership, the profits and the liabilities are shared between two people. There can be some adjustment as to which person is "more" responsible for specific issues, or it can be a completely 50-50 split….

Partnerships demand that all partners (both general and limited partners) be on the same page financially and within the scope of the business operations. They require shared a goal and vision for the entity, and a mutual understanding of each owner's role and the parameters for exerting control. Perpetual lines of communication must be available for all parties in response to changing dynamics and the occurrence of unforeseen events. This is particular relevant in the restaurant industry, where consumers have many choices and often make them based on little substance

. The restaurant industry is fraught with sudden changes, which can require added attention, effort and capital in a short period of time. Therefore, a thorough understanding of the roles of each owner, be they a general or limited partner, is essential to a properly functioning partnership.

Additionally, effective partnerships require regular meetings and reviews of all business operations, and a careful….