This Week

Hey Everyone! It has been a crazy week! This week we learned about business structures and the less developed countries. We now have been assigned a project with the country of our choice. We just took a test and I hope everyone did well. Keep working on projects and pray that we did well on the test!
REVIEW: DON"T FORGET IT

SOLE PROPRIETORSHIP

- 1 owner - small

- ADVANTAGES

- easy to open or close

- few regulations

- freedom and control

- owner keeps profits

- DISADVANTAGES

- limited funds

- limited life

- unlimited liability (RISKY)

- EXAMPLES

- Joe & Mimma’s

- bonnie L. Fedorchak, Bookkeeper

- 31 Gifs Consultants (Home - Based business)

PARTNERSHIPS

- 2+ owners

- ADVANTAGES

- easy to open or close

- few regulations

- owners keep profit

- more access to resources

- joint decision making

- specialization

- DISADVANTAGES

- joint decision making

- limited life

- unlimited liability (RISKY)

- TYPES

- general partnership - both partners share responsibility for managing the business and each is liable for all the business debts and losses

- limited partnership - at least one partner is not involved in the daily operations of the business (Silent Partner)

- limited liability partnership - all partners are limited partners and are not responsible for the debts and other liabilities of the other partners

- EXAMPLES

- law firms

- Smith and Cashin, DDS

CORPORATIONS

- shareholders = MANY owners

- ADVANTAGES

- access to resources

- professional managers

-limited liability

- unlimited life

- DISADVANTAGES

- start - up costs and effort

- heavy regulation

- double taxation

- loss of control

- EXAMPLES

- Apple

- Microsoft

- Exxon

- Proctor and Gamble