Creating a Business- Original Writing Essay

Sole proprietorships are the most common type of business in the U.S. They are most commonly chosen because they are the easiest type of business to set up and give the sole owner of the company complete control of the company. There are many benefits to a sole proprietorship in regards to control, profit retention, and convenience.

Another business structure to establish is Limited Partnership, which is similar to the partnership with a slight difference where it formed with at least one general partner and one limited partner. The general partners have the same obligation as partners in a general partnership; however, limited partners have limited liability to the extent of their contribution. The advantage of this business formation is the limited personal liability for individual partners for the acts of another partner within the organization. It has the same tax consequences as a general partnership. One important positive aspect is management and control aspects of the organization could be divided or separated among partners. It’s shortcoming, a general partner is still personally fully liable for the debts of the business. If the limited partner wants to become active in the business, he/she may assume the personal liability obligation.

When brainstorming to start a business, it is essential to research the most efficient way to start a company and all the liabilities that can happen. Business can become successful with the right person in place and a unique idea. When making a company, it is crucial to determine the structure, which organization to start with and the liability that is involved. When taking a closer look at five different company structures Sole Proprietorship, General Partnership, Limited Partnership, S/C Corporation, and Limited Liability. Which have not honored the contract and are at risk for legal actions. The various liabilities between each owner will be discussed. Which will analyze ways to limit liability and display my future business

A proprietorship is the most basic business entity (Dewhurst, 2014), in which an owner receives all profits and is legally liable for the obligations related to the business. It is the easiest structure to set-up, register and maintain, and additional tax incomes are not legally separated from the person. Its biggest disadvantage is that the personal property of the owner are not legally protected in case of financial obligations or company debts (Pakroo, 2004).

Categories of organisation: legal structure; type eg private company, public company, government, voluntary organisation, co-operative, charitable; sector (primary, secondary tertiary)

Considering, small amount or lack of sufficient fund with my client, I will like to advise him that sole proprietorship business might not be good and appropriate and thus, I Would like to suggest him to form a partnership business. As we know that Businesses operating as an Sole proprietorship business is beneficial for the full control over the business structures such as in management, decision making etc, but in this scenario It seems that as per the clent funds its not well worth for

Describe the ownership of the businesses - Sole trader, partnership, private or public limited company – definition Incorporated or unincorporated? Shareholders or no shareholders? Limited or unlimited liability – definition and explanation. Brief advantages and disadvantages for this ownership for the business organisation.

Sole Proprietorships. A sole proprietorship is a very simple business structure with little to no legal documentation being

The advantages to the sole proprietorship are single control over the business and its decisions, easy to start up, less regulations and paperwork burden that the other types of business. The disadvantages are unlimited liability for their company debts and actions. The law does not recognize any distinctions between the owner’s business assets and personal assets. Banks are very skeptical about lending to these types business because there is only one person to hold liable for repaying the debt.

A partnership is an association of two or more people who typically know and trust each other and therefore come together to set up and carry on a business. The partners have an equal control over the company’s affairs and typically contribute an equal capital amount. Incomes and losses are also equally shared . A trust is an obligation given to an appointed person, the trustee, to hold the assets and property of the business on behalf of the

When deciding to start operating a business one of the initial and most crucial decisions that will be important throughout the existence of the business is to decide on what is the legal status of your company. This will affect how the owner is able to operate the business and will have further implications for example how the business will pay tax and record your accounts of the finances of the business. The two main choices that will be given are: sole trader meaning that the business will be owned by only the person who is starting it and they are responsible for everything and limited company, this is a business who can have multiple owner but, in the case of the business going bankrupt only what the owners invested can be taken accountable as assets.

There are a number of forms of ownership that the business can take. The main forms are sole proprietorship, partnership, Limited Liability Corporation, corporation and S corporation. There are advantages and disadvantages to each of these forms that will be discussed in this section. A sole proprietorship essentially has the person as the business. In this situation, the proprietor bears all of the risk involved in the business. Business income flows through to the proprietor's personal taxes. For some individuals there are tax advantages, but for many the appeal of the sole proprietorship is its simplicity. The IRS defines a partnership as a relationship existing between two or more individuals who joint to carry on a business. Partners divide income according to their own agreement and that income flows through to their personal taxes. Partners also have a high level of liability for any legal action that befalls the company.

Developing a Business Website Developing a Business Website Simulation Analysis Developing a business website is a much more complex task than simply buying some servers and hosting a site. There are a variety of issues that arise that must be addressed in order to ensure that your website is not only functional but is actually of use to your customer to differentiate yourself from the competition. In the world of online trading the vendor must consider how the features of the site are generated, offering free or “pay for” services, and determining the functionalities that the customer will require.

the ice cream business; they hope to dominate one part of the market by using

Partnership is a type of business organisation in which two or more individuals work in a business. Investment, profits and loss and other resources are equally shared according to the terms and conditions of the partnership agreement. In absence of such agreement, a partnership business is most likely to be a failure. Participants in an enterprise agree to share the associated risks and rewards equally. The Partnership Act 1890 explains that a partnership is the relation which exists between people carrying on a business as usual with an aim of gaining profit. (Alan Griffiths & Stuart Wall, 2008, p133 ) states that "This is a form of business relationship which is usually entered into by individuals who wish to take advantage of the combined