Types of Business Organizations

One advantages of a ___ is limited liability for owners.

• Sole Propriotorship

• Partnership

• Corporation

• All are correct

What is ONE advantage of a sole proprietorship?

• You make ALL the decisions

• Easy to raise money

• You have to share profits

• Shareholders own the business

Which is ONE disadvantage of Sole Proprietorship?

• Less direct control

• Disagreements

• Hard to raise money

• Shareholders have too much influence

Owned by two or more people and may be general or limited.

• Sole Propriotorship

• Partnership

• Corporation

• All are correct

One disadvantage of ____ is the potential for conflict among partners.

• Sole Propriotorship

• Partnership

• Corporation

• All are correct

This type of business is owned by one person.

• Partnership

• Sole Proprietorship

• Corporation

• Franchise

The owner is their own boss and gets to keep all the profits.

• Partnership

• Sole Proprietorship

• Corporation

• Franchise

1)owner pays for everything 2)Difficult to get money to start 3)owner might lack skills 4)unlimited liability.

• Sole Proprietorship

• Partnership

• Corporation

• Franchise

What is a major advantage of a business that is a partnership rather than a sole proprietorship?

• The responsibility for the business is shared

• The business is easy to set up

• The partners are not responsible for business debts

• The business is easy to sell

Sammy's School Supplies is a small, locally owned store. This most likely represents what type of business?

• corporation

• Both are correct

• sole proprietorship