Liability Exposure within Multiple Business Organizational Forms BUSINESS FORM LEGAL ISSUE PERSONAL LIABILITY EXPOSURE Sole Proprietor Sued for breach of contract The personal risk of exposure to liability is considerably high; the sole proprietor assumes unlimited personal liability for the breach of contract lawsuit and, under this business entity, puts all personal assets at risk for the sake of the organization itself. General Partnership Sued for breach of contract The personal risk of
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When deciding to go into business for oneself, it takes a great deal of time, thought, and risk. Becoming an entrepreneur is not a simple task. One of the most important decisions an entrepreneur must make is deciding what type of business he or she wants to open. Throughout this paper, I will discuss seven business types; sole proprietorship, partnership, limited liability partnership, Limited Liability Company, S corporation, franchise, and corporation, and will give a scenario for each. In
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owner makes 100% of decisions • simplest to set up • least costly to operate • simple tax return | • personally liable for any debt/law suit • limited to personal resources if seeking to expand • limited by skills sets of owner | • a small dry cleaner • small restaurant | If you chose this option, it could limit the amount of money available to the business as it would all come from you and your spouse. | | | | | | | | | | | | | | | | Partnership | • pools financial resources
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Business Organization Checkpoint Lisset Navarro BUS/210 05/18/2012 Judd Shaffer The most common forms of business organizations are: * Joint-stock company (JSC), which refers to a type of corporation or partnership that involves two or more individuals who own shares of stock in a company. In a JSC, shareholders are free to transfer their ownership interest at any time by selling their shareholding to others. Moreover, in a JSC company, the stockholders have unlimited liability, meaning
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report) Forms of Business Organizations SOLE PROPRIETORSHIP A sole proprietorship is an unincorporated business entity owned by one person. A sole proprietorship is the most common form of business today. · Liability: This is one of the largest disadvantages of a sole proprietorship. There is no distinction made under law between the proprietor and the proprietorship therefore the proprietor is one hundred percent liable. In the event that the business flops or is sued the business and personal
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Business Organization • Kenya L Allen Course# BUS/210 2/3/2012 Dana LA Fleur My entertainment company, Kytepromotions, pays fines for every little violation for every little incident. Since I
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sole proprietorship and general partnership. A sole proprietor business is owned by one individual. A sole proprietorship business is the most common form of business and has many benefits. This type of business is easy setup, does not require large amounts of capital, and allows the single owner full management of decisions concerning the business. The proprietor receives all business’s profits and can easily transfer or sell the business if desired. The liabilities and risks of sole proprietorship
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and require employees to take time off from his or her job. To take time off work an employee must be eligible to take such leave whether it is sick time, vacation time, comp time, or FMLA. “The Family and Medical Leave Act (FMLA) is the principal law governing the provision of leave to employees for parental and medical reasons” (Walsh, 2007, p. 312). Employees are entitled to FMLA leave when the following criteria are met: the employee has worked for the employer for at least 12 months before
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Family and Medical Leave Act Law Ethics and Corporate Governance Executive Summary When most employees think of benefits, the first thing that comes into mind is vacation days, personal days, and bonus. The Family Medical Leave Act is another benefit that is not very common, but is accessible if an employee is working for a company that employs over 50 employees within 75 miles from the worksite. It offers employees the benefit to take up to 12 weeks (26 weeks
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Business Organization and ADR Tracey A. Duggan FIN/540 July 2, 2012 Donald Frey Business Organization and ADR Choosing to start a business requires making major decisions and determining what form of business to undertake may be the decision of one person or several people. After the decision has been made on what type of business to start, it will be important to put in place an alternative resolution dispute process to have solve disputes that may face the company. The
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