3 - What are the advantages/disadvantages of the different...

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What are the advantages/disadvantages of the different legal forms of business organizations? The three key legal forms of business organization in the United States are sole proprietorships, partnership, and corporations. A sole proprietorship is a business owned and controlled by a single person. A partnership is a business owned by two or more individuals. In U.S. law, a corporation is a separate legal entity with many of the economic rights and responsibilities enjoyed by individuals. Each of these legal forms of organizing firms has distinct advantages and disadvantages. Advantages of a Sole Proprietorship It is the easiest and least expensive form of business to own and operate because it does not require any specific legal organization, except of course, the normal requirements such as licenses, permits and registering with tax authorities. It typically does not have any rules or operating regulations under which it must function.
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This note was uploaded on 10/15/2011 for the course FIN 550 taught by Professor Smith during the Spring '11 term at Berklee.

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3 - What are the advantages/disadvantages of the different...

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