Level 7 Review Private Property and Business Ownership

This type of business is owned by one person.

• Partnership

• Corporation

• Sole Proprietorship

• Franchise

Advantages of this business type are that the owner is their own boss and gets to keep all the profits.

• Sole Proprietorship

• Franchise

• Corporation

• Partnership

Disadvantages for this type of business include: owner pays for everything, hard to get money to start from the bank, owner might lack skills & unlimited liability.

• Sole Proprietorship

• Corporation

• 
  Partnership

• Franchise

What is a major advantage of a business that is a partnership rather than a sole proprietorship?

• The business is easy to set up

• The responsibility for the business is shared

• The partners are not responsible for business debts

• The business is easy to sell

What is a business owned by stockholders/investors but operated by others?

• Sole Proprietorship

• cooperative

• Corporation

• Partnership

What is a business owned and operated by two or more people?

• Sole Proprietorship

• Corporation

• Partnership

• franchise

What is ONE advantage of a sole proprietorship?

• You make ALL the decisions

• 
  Easy to raise money

• You have to share profits

• limited liability

Which is ONE disadvantage of Sole Proprietorship?

• Less direct control

• Disagreements

• Harder to raise money

• double taxation

What is ONE advantage of a Corporation?

• 
  Difficult to start

• Easy to raise money!

• Make all of the decisions

• taxed once

Disadvantages include limited life and
the potential for conflict between partners

• Partnership

• Sole Propriotorship

• Corporation

• non-profit