Exploring Business Structures Flashcards

Front

A business owned and operated by a single individual.

Back

Sole Proprietorship

Front

A business structure where two or more individuals manage and operate the business.

Back

Partnership

Front

A legal entity that is separate and distinct from its owners, offering limited liability to its shareholders.

Back

Corporation

Front

A hybrid business entity that combines the characteristics of a corporation and a partnership or sole proprietorship.

Back

Limited Liability Company (LLC)

Front

The owner is personally liable for all business debts and obligations

Back

Sole Proprietorship

Front

1. Income is taxed as personal income on the owner's tax return.

Back

Sole Proprietorship

Front

1. A local bakery owned and operated by one person.

Back

Sole Proprietorship

Front

6. A business owned by two or more individuals who share responsibilities and profits.

Back

Partnership

Front

6. Partners contribute resources and share decision-making responsibilities.

Back

Partnership

Front

6. General partners are personally liable for business debts, while limited partners have limited liability.

Back

Partnership