Business Forms
A business owned and operated by one person
What is sole proprietorship?
Joan has been manager for Lydia’s Dress Shop for five years, but she wants to be her own boss. Joan has experience, cash, and a strong desire for independence. Which type of business ownership is most appropriate for Joan?
What is sole proprrietorship?
the type of partner that manages day-to-day business operations and is personally liable for losses if the business fails
What is general partner?
The Scott Company decided to sell stock to raise capital. Under what form of business ownership does the company operate?
What is corporation?
When owners of a business can be held personally liable
What is unlimited liability?
A business in which the owners share profits and losses equally.
What is a Partnership?
Brent, Robbie, and Lin are college friends who want to start a business. Brent has creative ability, Robbie expertise is selling, and Lin’s expertise is management. However, each has limited capital. Their ideal type of business ownership is a
What is partnership?
If all of the individuals who own a business share unlimited liability for the business’s losses, these individuals are part of a(n)
What is general partnership?
What type of corporation may be owned by just a few people and does not offer its shares for sale to the general public?
What is private or close corporation?
Wendy’s sells the right to operate its restaurants to individuals who meet the company’s criteria. The arrangement between Wendy’s and these individuals is an example of
What is franchising?
A business that is viewed as a separate legal entity
What is a corporation?
As a successful businessperson, Ben wanted to take the next step to expand his midsize company internationally. He knew he didn’t have enough capital and know-how to get into foreign markets. He contacted a former business associate who owns a garment manufacturing company in Australia. Together, they worked out a deal that would benefit both of their companies in a relationship that would last no longer than one year.
What is a joint venture?
Lois and Harper plan to open a florist shop. Lois is unable to devote full time to the daily operations of the shop but wishes to provide financial support. Which form of business partnership is most likely to appeal to Lois?
What is limited partnership?
What type of corporation sells millions of shares and must provide complete information about its earnings, assets, and debts?
What is "C" corporation?
ABC Specialty Wear is the only company that has written permission to use a national football team’s logo on its sportswear. This is an example of a
What is licensing agreement?
A business that exist for a specific time period or project
What is a joint venture?
Abby attended a party at a friend’s house. At the party, a sales representative presented a line of high-quality, decorative baskets in an array of shapes and sizes. Abby has been a collector of the baskets for a long time. When the sales representative approached her about becoming a representative for the company, Abby told the representative that she would be very interested in becoming a distributor.
What is multi-level marketing?
a groups of skilled workers such as professionals may create this kind of partnership
What is LLP (Limited Liability Partnership)?
A type of corporation that was developed to help small businesses by taxing them as individuals in a partnership is a(n) __________ corporation.
What is an "S" corporation?
Illegally run organizations that emphasize the collection of high fees from potential product distributors are often referred to as
What are pyramid schemes?
A smaller form of a corporation that can be managed by members or managers
What is LLC (Limited liability corporation)?
As a young child, Sabrina had a passion for animals and environmental issues. After she graduated from college, Sabrina landed a job in an organization whose mission is to create public awareness about endangered animals and other environmental issues. Sabrina’s employer depends largely on grants and donations to fund business activities.
What is nonprofit corporation?
an organization owned and operated by its members for the purpose of saving money is called a
What is a cooperative or co-op?
A company that exists to serve a particular cause such as the American Red Cross or Habitat for Humanity is an example of a
What is non profit corporation?
You cannot have more than 35 shareholders
What is S-corporation?