Business Organizations Review

Person who purchases does not need to build the business from scratch

• Partnership

• Sole Proprietorship

• Franchise

• Corporation

This is a hybrid, with some elements of a corporation and some elements of a sole 

proprietorship/partnership.

• Limited Liability Company

• Limitied Liability Partnership

• General Partnership

• S Corporation

They may have no more than 100 shareholders.

• Sole Proprietorship

• General Partnership

• C Corporation

• S Corporation

There is just one owner

• Limited Liability Partnership

• Sole Proprietorship

• Limited Liability Corporation

• Franchise

Must report their income to the Securities and Exchange Commission

• C Corporation

• S Corporation

• Franchise

• General Partnership

A formal arrangement by two or more parties to manage and operate a business and share its profits

• Non-Profit

• Partnership

• Sole Proprietorship

• Corporation

If the business owner chooses to go through the legal process of incorporation

• Non-Profit

• Franchise

• Corporation

• Partnership

Requires a written partnership agreement 

• Limited Partnership

• General Partnership

• Partnership

• Limited Liability Partnership

Granted Tax-exempt by the IRS

• Non-Profit Organizations

• Sole Proprietorship

• General Partnership

• S Corporation

These are easy to set up and do not require a lot of legal documentation

• Non-Profit Organization

• Not-For-Profit Organization

• General Partnership

• Franchise