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Small Businesses' Legal Structures

For the business you chose, what form of ownership seems best? Why? Discuss the pros and cons of the alternative forms of ownership that lead to your decision.

Does a corporation really mitigate legal risks to the operator of the business? If so, how are the risks mitigated? What risks remain?

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Corporation is the best form of business organization. Name a successful company today and very rarely you can name a successful business that is run by sole proprietorship or partnership. Forbes (2013) noted that the top 25 most reputable companies in the world are all corporate entities.

Corporations do have inherent power to attract resources. It is authorized to sell shares of stocks to boost its resources. Both sole proprietorship or partnership do not have this power.

In sole proprietorship, the government does not differentiate the owner from the business. The liabilities ...

Solution Summary

This discussion suggests the ideal type of ownership is the best for businesses.