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Unformatted text preview: A proprietorship is a business owned by one person. An entrepreneur would choose this business because it is easy to set up and gives the owner full control over the business. This choice also offers several tax advantages. Usually these businesses are small owner operated businesses such as barbershops, law offices, farms, and small retail stores. A partnership is a business owned by more than one person. An entrepreneur would choose this option because it is also easy to set up and has the advantages of more than one view point/ideas for the company. This is also an option for people that want to own a business but need extra help building more capital to start up. This choice also comes with tax advantages. If this option is chosen there should be a solid contract between the partners defining what responsibilities each partner has and what percentage each gets from the business. Partnerships are usually businesses such as doctor’s offices, law firms, bigger retail stores, and accounting...
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This note was uploaded on 12/12/2010 for the course ACC 220 taught by Professor - during the Spring '10 term at University of Phoenix.
- Spring '10