Start my Business
Consumer market, business market, and government/institutions
Businesses or people that take natural resources from the land
extractors
Organization that generates revenue
For Profit Business
Easy to start and close
Retain all profits
Simple tax structure
Complete control over operations
Sole proprietorship advantages
Double Taxation
Corporation Disadvantage
3 types of business ownership structures
proprietorship, partnership, corporation
Businesses that use supplies from other producers to make products
Manufacturers
3 parts of the private sector
Producers, Intermediaries, Service Businesses
Unlimited liability
Limited Life
Limited Expertise
Sole Proprietorship Disadvantages
Max number of shareholders is 100
S Corporation
If a proprietorship is using a name other than the owner's name you must have this
DBA (Doing Business As) certificate/registration
Earns profits by providing consumers with services that meet their needs and wants
Service Business
Organization that exists to serve some public purpose
Not For Profit Organization
Easy to start
Combined financial resources
Skills and resources
Simple tax structure
Partnership Advantages
LLC
Limited Liability Company
Stock
People and businesses that sell goods and services from producers to customers
Governmental organizations, schools, and military
Unlimited Liability
LImited Life
Potential Disagreements
Partnership Disadvantages
Owned and operated by those using the services
Cooperative
Group of individuals who make high level management decisions for a corporation and establish company policies
Board of Directors
wholesalers
Businesses that create goods and services
Producers
Limited Liability
Continue Life
Raise Capital
Professional Management
Corporation Advantages
Disadvantages of Corporations
Expensive to form
Governmental regulations
Double taxation