Jessica Phan Prof. M. Leath English 1301.115 March 22‚ 2014 Essay 2 Limited Liability Company (LLC) and Partnership “To succeed in business‚ to reach the top‚ an individual must know all it is possible to know about that business” (Getty). The first time starting a business is exciting and also a challenge. A person should learn everything about their customers‚ the market and their competitors. Besides‚ the most important thing for a businessman to succeed is understand about what business
Premium Taxation in the United States Corporation Tax
taking on specific functions and liability with the partnership‚ it is extremely important that all agree on the specific structure that the partnership will take. The purpose of this memo is to provide an educated and unbiased opinion on what structure that partnership should take. Partnerships are commonly organized as General Partnerships‚ Joint Ventures‚ or Limited Partnerships (limited liability). For the purposes of this memo‚ we will stick to forms of Limited Partnerships as the current economic
Premium Corporation Limited liability company Types of business entity
University of Phoenix Material Business Forms Worksheet There are seven forms of business: sole proprietorship‚ partnership‚ limited liability partnership‚ limited liability company (including the single member LLC)‚ S Corporation‚ Franchise‚ and Corporation. 1. Research and provide three advantages and three disadvantages for each business form. 2. Provide a 100- to 200-word summary in which you provide an example business that you would start for each form. What is legally necessary
Premium Corporation Limited liability company Types of business entity
of organization. First of all‚ a sole proprietor is someone who owns an unincorporated business by himself or herself. A general partnership is duties of where all partners participate to some extent in the day-to-day management of the business. Limited partnerships are very different from general partnerships‚ and are usually set up by companies that invest money in other businesses or real estate. The C Corporation is the standard corporation‚ while the S corporation has elected a special tax status
Premium Corporation Limited liability company Types of business entity
differentiate based on liability‚ tax implications‚ and what type of business is being evaluated when determining what structure to use. This paper will cover the advantages and disadvantages within the four types of business structures; Limited Liability Corporations‚ Corporations‚ Partnerships‚ and Sole Proprietorships. Corporations A corporation is a standalone entity. There are two types of corporations‚ general or S Corp. Advantages of corporations consist of limited liability‚ capital through
Premium Corporation Limited liability company Types of companies
small business organizations and larger corporations can be compared in four different ways. Both are separate‚ legal entities that are created by some kind of state filing‚ both offer the same limited liability protection and the owners are typically not personally responsible for the debts and liabilities of the business‚ both entities have very few ownership restrictions because the owners are not required to be United States residents and the number of owners is without limitation. The owners
Premium Corporation Types of business entity Partnership
can lead to dramatic and traumatic split ups. • The partnership may have a limited life; it may end upon the withdrawal or death of a partner. • A partnership usually has limitations that keep it from becoming a large business. • You have to consult your partner and negotiate more as you cannot make decisions by yourself. You therefore need to be more flexible. • A major disadvantage of a partnership is unlimited liability. General partners are liable without limit for all debts contracted and errors
Premium Corporation Limited liability partnership Partnership
scenarios in which each of these forms of business would be the preferred form. This paper will also justify why the corresponding business form is preferred. The forms that will be discussed are: sole proprietorship‚ partner‚ limited liability partnership‚ Limited Liability Company‚ S corporation‚ franchise‚ and corporate form. Sole Proprietorship A Sole Proprietor is someone who owns a business by himself or herself. The sole proprietorship is the oldest‚ most common‚ and simplest
Premium Corporation Business law Types of companies
legal forms of business include; • Sole Proprietorship • Partnership (General Partnership‚ Limited Partnership and Joint Venture) • Corporation (C Corporation and S Corporation) • Limited Liability Company (Private and Public) These legal forms have been derived according to their Source of the capital‚ Value of capital investment‚ Nature of ownership‚ Number of owners‚ Nature of liability and many other factors. Each legal form has its own advantages as well as disadvantages. When
Premium Corporation Types of companies Limited liability company
business and personal accounts. The sole proprietor‚ however‚ is a subject of unlimited liability for debts‚ losses and other business obligations when the business goes sour. The business owner also faces challenges in raising capitals from investors because there are no stock options. Banks are reluctantly to make loans to these businesses due to the perceived lack of liability to repay the loans. I. Liability: the business owner is held responsible and liable for all business debts and losses when
Premium Corporation Corporate tax Limited liability company