Business Organizations : Business Organization

| A sole proprietorship is easy to create; there is minimal creation cost and time.The single owner has autonomy in decision making; sole owner makes all decisions related to the business and has complete ownership of business’s finances.

Sole Proprietorship. Sole owner of a business. The manager and the owner is the same person. The sole proprietorship has unlimited liability. You pay taxes as owner and

The individual owner is limited to personal money and loans when it comes to funding the business.

Sole proprietorships are the most common type of business in the U.S. They are most commonly chosen because they are the easiest type of business to set up and give the sole owner of the company complete control of the company. There are many benefits to a sole proprietorship in regards to control, profit retention, and convenience.

Sole Proprietorship Sole proprietorship is the most common form of business in the United States. It is a relatively simple way for an individual to start a business since legal costs and business requirements are minimal, and the owner has complete control over the business. Though a sole proprietor is not responsible for any corporate tax payments, the owner is responsible for taxes incurred on the income generated from the business as part of his or her personal income tax payments, and personally shoulders any other risks or obligations. A sole proprietor may also choose to file their business under a fictitious business name or a DBA (doing business as), allowing him or her to operate and market the business under a more typical

Longevity/Continuity- A sole proprietorship exits only as long as the owner is alive or until the owner decides to

A sole proprietorship is a form of business that is owned by a single individual.  • Liability – Due to the lack of legal distinction between the owner and the business, the owner is fully responsible and liable for all debts that the business incurs in the same manner that an individual is fully responsible and liable for all debts that they incur. There is no legal distinction between the assets of the owner of the sole proprietorship and the business; this means that creditors have the ability to come after the owner’s business and personal material assets.   Income Taxes – Since the business is the same as the owner of the sole proprietorship, all profits or losses from the business are filed by the

INCOME TAXES – As a sole proprietor all business income or losses must be reported as personal income tax. The business itself is not taxed separately.

Income Taxes: The owner of a Sole Proprietorship pays taxes in the earnings of the company as personal income.

Sole Proprietorship: This is a type of business is where the business and the owner are one in

Sole Proprietorship would give you complete control since you assume all the risks, which mean you get all the profits, but you also suffer all the losses and liabilities. There is little to no paperwork to be done with a sole proprietorship. You only pay personal income tax to include Social security. The business doesn’t have to file a tax return, but you are still liable for payroll, unemployment and compensation taxes (Clarkson, Miller, & Cross, 2016).

LONGEVITY/CONTINUITY –If the general partner dies or withdraws then the business is liquidated unless there was a buy/sell agreement stating otherwise. In the event that the limited partner perishes his appoint heir

There are two main types of ownerships: sole trader ship and partnerships. Some may say that the only difference in the two are that the business is either ran by one single person or by two or more people, but in reality there is a big difference. For example, a sole trader ships could be a business like a market stalls, hairdressers or corner shops; partnerships could be a business like a solicitors firms and accounting firms. Also, while deciding which ownership is right for the business you have to look at the over view of what type of business you’re getting into. Sole trader ships only financial income is from the business and/or bank loans (types of business structures). Partnerships can receive larger

Longevity: Similar to a sole proprietorship, in case of death or incapacity of a partner the

There are many advantages and disadvantages when owning your own business. When you own you own business, it’s known as a sole proprietorship. But with any type of business, there will always be advantages and disadvantages.