Business Ownership
Ava Aliberti
Sole Proprietorship
Characteristics
- Simplest and most flexible business
- Easy to close down a business
- Total control and decision making
- Profit will be taxed at a marginal tax rate
Advantages
- Business losses can effect the income proprietor
Disadvantage
- Risks that are taken can lead to bankruptcy
- Landscaper
Partnership
Characteristics
- People carrying on a business in the same view of profit
- Each person is liable for dept in the company
- All have to share in profits
- Important to prepare a partnership agreement
Advantages
- Easy to raise finance
Disadvantages
- Don't have benefit of limited liability
- McDonald's
Corporation
Characteristics
- Limited liability
- Transfer ability of ownership
- Centralized management
- No limit on share holders
- Taxes
- Sanofi
Franchise
Characteristics
- Strong skills
- Hard work skills
- System orientation
- Coach ability
- Products will have established a market share
- Costs are higher than expected
Allstate Insurance
Non-for-profit Organization
Characteristics
- Mixed skill levels
- Participation
- Passion for mission
- Tax deduction
- Paperwork
- Doctors of the world