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Forms of Business Organization

Title: Forms of Business Organization
Category: Business & Economy / Accounting
Details: Words: 934 | Pages: 4.0 (approximately 235 words/page)

Forms of Business Organization

From a legal point of view, there are four types of businesses: 1. Sole proprietorships; 2. Partnerships; 3. Corporations; and 4. Co-operatives. A brief description of each type is followed by a summary of their advantages and disadvantages. For specific information on how or where to register or incorporate a business, contact your local CBSC. Sole Proprietorships This is the simplest way to set up a business. A sole proprietor is fully responsible for all debts and obligations related …showed first 75 words of 934 total…

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…showed last 75 words of 934 total…development of conflict between shareholders and executives Co-operatives Advantages <Tab/> --------- owned and controlled by members democratic control (i.e. one member, one vote) limited liability profit distribution (surplus earnings) to members in proportion to use of service; surplus may be allocated in shares or cash Disadvantages ----------- possibility development of conflict between members longer decision-making process participation of members required for success extensive record keeping necessary less incentive to invest additional capital

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