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Brusiness Structures

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Sole Proprietorship
A sole proprietorship is the easiest and most common structures selected to start a business. It is an independent business maintained and run by one individual with no distinction between the business and you, the proprietor. Benefits of a sole proprietorship it’s easy and economical to method, cost are minimal, with legal cost limited to obtaining the necessary license or permits. Weaknesses of a sole proprietorship are unlimited personal liability, hard to advance currency because you can’t sell stock in the business. Banks are also hesitant to lend to a sole proprietorship because of an alleged lack of trustworthiness when it comes to repayment if the business fails. You alone are ultimately accountable for the success and disappointments of your business. All partners’ business matters are private, and there are limited external regulations. Partnership
A partnership is considered if the number of people involved is a small group up to about twenty people. Some advantages of a partnership more capital are available for the business. Business is easy to establish, and start-up cost are low. The partnership will have greater borrowing capacity. It is easy to change your legal structure later if circumstances change.
Disadvantages are the liability of associates for the debts of the business is limitless. All partners are jointly and individually responsible for the partnership’s debts; that each partner is liable for their share of the business. If any partners join or leave the partnership; you will probably have to price all the partnership assets, and this can be expensive. Each partner is a representative of the partnership and is liable for activities by other partners. Corporation
A corporation is a sort of company that is officially

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