Review Types of Business Structures

This business type has unlimited liability, meaning the owner's personal assets can be used to pay business debts. It is easy to establish and gives the owner complete control.

• Corporation

• Limited Liability Company (LLC)

• Sole Proprietorship

• Partnership

This business type protects its owners from personal liability for debts and obligations, allowing it to raise capital by issuing stock. However, it involves more regulations and higher costs.

• Sole Proprietorship

• Corporation

• Partnership

• Limited Liability Company (LLC)

In this business structure, partners share profits and responsibilities, but each partner can be held personally liable for the business's debts.

• Limited Liability Company (LLC)

• Sole Proprietorship

• Partnership

• Corporation

This type combines the advantages of a corporation and a partnership, offering limited liability while maintaining flexibility in management.

• Sole Proprietorship

• Corporation

• Partnership

• Limited Liability Company (LLC)

Which business type is typically the simplest and least expensive to establish, often requiring minimal paperwork?

• Corporation

• Limited Liability Company (LLC)

• Sole Proprietorship

• Partnership

Which business structure allows for the business to continue operating even if one of the owners leaves or passes away?

• Sole Proprietorship

• Corporation

• Partnership

• Limited Liability Company (LLC)

In which business type do owners have the flexibility to choose how they are taxed, either as a corporation or as a partnership?

• Sole Proprietorship

• Corporation

• Partnership

• Limited Liability Company (LLC)

Which business type is most suitable for a single individual who wants full control and is willing to take on personal liability?

• Corporation

• Limited Liability Company (LLC)

• Sole Proprietorship

• Partnership

Which business structure is often chosen by professionals such as lawyers and accountants who want to share responsibilities and profits?

• Sole Proprietorship

• Corporation

• Partnership

• Limited Liability Company (LLC)

Which business type is known for having the ability to issue shares of stock to raise capital?

• Sole Proprietorship

• Corporation

• Partnership

• Limited Liability Company (LLC)