Business Structure Questions

What is the simplest form of business ownership?

• Corporation

• Sole Proprietorship

• Partnership

• LLC

Which type of business ownership has unlimited personal liability?

• Sole Proprietorship

• Corporation

• LLC

• Franchise

In which business type do two or more people share profits and losses?

• Sole Proprietorship

• Corporation

• Partnership

What is a major advantage of a corporation?

• Easy to set up

• Owners have limited liability

• Less paperwork

• No taxes

Which business type is considered a separate legal entity?

• Sole Proprietorship

• Partnership

• LLC

• Corporation

What is a disadvantage of a partnership?

• High startup cost

• Harder to raise money

• Risk of partner disagreements

• Limited liability

Which business type is the easiest to raise money by selling stock?

• Sole Proprietorship

• LLC

What does LLC stand for?

• Legal Liability Company

• Limited Liability Corporation

• Limited Liability Company

• Long-lasting Corporation

Which of the following business types protects owners from personal liability?

• Sole Proprietorship

• Corporation

• Partnership

• None of the above

If an entrepreneur wants full control and all profits, which structure is best?

• Partnership

• Sole Proprietorship

• Corporation

• LLC