Sole Proprietorship
Who is the owner of a Sole Proprietorship
One Person
Who is the owner of the Partnership
Two people
Who is the owner of the corporation
Who is the franchises owner
Franchise is a contractual agreement to sell a company’s products or services in a specific geographic area
One disadvantage about Sole Proprietorship
Owner must pay for everything needed for the business
One disadvantage about Partnership
Partnership agreement is needed to start
One disadvantages about a corporation
Corporations are taxed on their profits
One disadvantages about a franchise
Some franchisors are strict about how the business is run
One disadvantage about Sole Proprietorship
Owner might lack business skills
One disadvantage about Partnership
Partners must share profits
One disadvantages about a corporation
More difficult to start a corporation
One disadvantages about a franchise
Franchise is limited in what products or services can be sold
One advantage about Sole Proprietorship
Easy to Start
One advantage about Partnership
Relatively easy to start
One advantages about Corporations
Corporations can raise money by selling stock
One advantages about a franchise
Easy to start
One advantage about Sole Proprietorship
Owner keeps all the profits
One advantage about Partnership
Partners share skills and talents
One advantages about Corporations
Corporation continues when stockholders sell stock
One advantages about a franchise
Franchisee can rely on good name and expertise of the parent company