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    Business Organizations

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    Describe the advantages and disadvantages of doing business as a sole proprietor? When would you decide to start a sole proprietorship?
    Describe the advantages and disadvantages of doing business as a partnership? When would you decide to start a partnership?
    Describe the advantages and disadvantages of doing business as a limited liability company? When would you decide to start an LLC?
    Describe the advantages and disadvantages of doing business as a corporation? When would you decide to start a corporation?

    623 words

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    https://brainmass.com/business/business-management/business-organizations-disadvantages-advantages-358673

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    1. ADVANTAGES - SOLE PROPRIETOR
    • A sole proprietor has complete control and decision-making power over the business.
    • Sale or transfer can take place at the discretion of the sole proprietor.
    • No corporate tax payments.
    • Minimal legal costs to forming a sole proprietorship.
    • Few formal business requirements.

    DISADVANTAGES - SOLE PROPRIETOR
    • The sole proprietor of the business can be held personally liable for the debts and obligations of the business. Additionally, this risk extends to any liabilities incurred as a result of acts committed by employees of the company.
    • All responsibilities and business decisions fall on the shoulders of the sole proprietor.
    • Investors won't usually invest in sole proprietorships.

    A sole proprietorship would be ideal if you wanted to go into business alone.

    2. ADVANTAGES - PARTNERSHIP
    • You have a shared financial commitment.
    • You can pool resources, expertise, and strengths.
    • There are limited startup costs.
    • There are few ...

    Solution Summary

    Describes advantages/disadvantages of business organizations. Including: sole proprietorship, partnership, limiited liability company and corporation.

    $2.19

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