Types of Business
- person has full pride in owning
-receives full profits
- makes decisions easy and fast
- unlimied liability
-complete responsibility pn debts and damages
- owners personal assests may be seized
- difficult to raise financial capital
- can't attract qualified employees
- draw up a article of partnership
- how much money each will contribute
- what role each will play
- share profits and losses
-how to break up the business
General - all are responsible for the management and finacial obligations of the busness
limited-It is a partnership in which only one partner is required to be a general partner
- Businesses as partnerships do not have to pay income tax; each partner files the profits or losses of the business on his or her own personal income tax return. This way the business does not get taxed separately.
- Easy to establish.
- There is an increased ability to raise funds when there is more than one owner
- Wider pool of knowledge, skills, and contacts.
- Improved management with more than one owner.
The corporation remains separate from those who manage and control the operations of the business.
There is a pooling of capital from many investors and it is therefore easier to get the business up and running.
Have to file Articles of Incorporation with the Minnesota Secretary of State and a filing fee.