3 Types of Business
Sole Proprietors, Partnerships, and Corporations
It is when a business is owned and managed by one person.
Advantages- It is easy to start-up, and you are the sole receiver of profits made.
Disadvantages- But you are also at unlimited person liability. If the business goes under, you are responsible for the debt left.
An example could be Sweet Pickle, a cute restaurant in Kannapolis which is owned by a lovely woman.
Partnerships are a business organization owned by two or more persons who agree on a specific division of responsibilities and profits.
Advantages- There is still an easy start-up and now shared decision making.
Disadvantages- You have to share profits and there is potential conflict.
An example would be Carolina's Gateway Partnership that help with economic development and are a partnered business.
Advantages- There is limited liability for you and more potential for growth.
Disadvantages- There is an expensive start up and there is potentially loss of control.
Cheerwine is a corporation set in North Carolina.