Business Ownership Types Flashcard

Front

What is one advantage of forming a corporation?

Back

Protection from personal liability

Front

Which business structure may involve double taxation? Options: Sole proprietorship, Partnership, Corporation, S corporation

Back

Corporation

Front

Fill in the blank: The easiest and most common form of business ownership for small business owners is ____.

Back

Sole proprietorship

Front

What type of legal responsibility do business owners have to address employee on-the-job injuries?

Back

Worker’s compensation

Front

What is the BEST way to protect personal property from business financial obligations?

Back

Seek legal counsel and choose the right legal structure

Front

What type of insurance protects a business from claims of wrongdoing? Options: Exchange of Value, Professional, General liability, Small business

Back

General liability

Front

What legal action protects personal assets from business liabilities?

Back

Incorporation

Front

What principle ensures each party signing a contract has the authority to enter it?

Back

Legal purpose

Front

What aspect of ownership is addressed by the question, 'Do you care if other owners can take over if you are not involved?'

Back

Continuity

Front

What is the role of a lawyer in ensuring business decisions comply with regulations and laws?

Back

Ensure compliance with regulations and laws