Types of Business Organizations

Which of the following are types of businesses?

• Sole Proprietor/Sole Trader and Partnership

• Corporation and Non-Profit

• Limited Partnership and LLC

• All of the above

A sole trader is a business organization is;

• Owned and operated by an individual

• Hardest business to start

• The least common type of business

• Also known as sole proprietor

Which of the following are advantages of a sole trader business?

• Personal wealth and asset are associated with the business

• Decisions are made easily

• Business continuity

• Close relationship with customers

State three (3)disadvantages of a sole trader business

Which of the following are characteristics of a sole trader business? Select all that applies

• Easy to set up

• Complete control of the business

• Profit earned is shared among owner and employees

• Private Investors are involved in the business