Forms of Ownership

Ownership represented by stock

• Sole Proprietorship
• Partnership
• Corporation

Profits DO NOT need to be split

• Sole Proprietorship
• Partnership
• Corporation

Shortest lifespan

• Sole Proprietorship
• Partnership
• Corporation

Limited Liability

• Sole Proprietorship
• Partnership
• Corporation

Most expensive to start

• Sole Proprietorship
• Partnership
• Corporation

What is the most common form of business ownership?

• Sole Proprietorship

• Partnership

• Corporation

The owners of a corporation are called

• Directors
• Partners
• Shareholders
• Founders

How is a sole proprietorship taxed?

• The owner pays income tax on profits but the business isn't separately taxed
• The business is taxed on profits but the owner doesn't have to pay income tax
• The business is taxed on profits and the owner also pays income tax
• Neither the business nor the owner is subject to taxes

How many people typically work for a sole proprietorship?

• It varies by state
• Only one
• One supervisor and no more than one other employee
• No more than five total people

How does an owner incorporate a sole proprietorship?

• File forms through the County Clerk's office
  
• File a Doing Business As form with the state
• Contact the Secretary of State's office
• Sole proprietorships aren't incorporated