Sole Proprietorship & Partnership
This type of ownership is run by one person who keeps all profits
What is a sole propriatorship
In this, owners personal assets are protected if the business fails
What is a limited liability company (LLC)
This type of corporation is created to benefit the public while making profit
What is a benefit corporation (B corp)
Sole proprietorships are easy to form because they require little of this
What is paperwork
Sole proprietorships make the owner personally responsible for ...
What is business liability (or loses)
This type of ownership involves two or more people who sign an agreement
What is a partnership
This corporation does not have to reveal financial results to the public
What is a private corporation
These corporations do not pay taxes on donations they receive and often serve communities
What is a nonprofit corporation
Partnerships allow owners to share this burden making business easier to start
What are startup costs (capital expenditures)
Partnerships can create disagreements that lead to this problem
What is conflict
In this type of partnership, one partner cannot be held liable for anothers debts
What is a limited liability partnership
The document needed to start a corporation in the US is called this
What are the articles of incorporation
This corporation is owned by members who also benefit from its services
What is a cooperative
Nonprofit corporations are eligible to receive these financial awards
What are grants
LLCs often face this type of tax on salary and profits
What are self employment taxes
In this type of partnership all partners share responsibility for debts
What is an unlimited liability partnership
This type of corporation can sell stock to raise money
What is a C corporation
This type of corporation is often family owned (or personnaly connected) and cannot sell shares to the public
What is a close corporation
C corporations can raise money by doing ...
What is selling stock
C corporations face this problem when they pay taxes at both the corporate and shareholder level
What is double taxation
A main disadvantage of sole proprietorships is that the owner is responsible for raising...
What is capital(startup costs)
This corporation must be U.S.-based, have 100 or fewer shareholders, and only one class of stock.
What is an S corporation?
This certification for B corps requires recertification every 3 years and can cost up to 50000 dollars
What is the B Lab certification
Cooperatives give all members equal rights in this process
What is decision making (or voting)
Nonprofits often face high startup costs and delays in approval process. This is called ...
What is tax exemption status