Corporate Characteristics Proposal
Corporate Characteristics Proposal Katrina Phillips ACC 281 June 11, 2012 Chris Brown University of Phoenix
As an individual or a group of individuals, starting up any type of business takes strategic planning even before the business opens. Many questions will to be asked once the concept of the business is designed. Each form has its own unique style starting from which type of business organization is decided on, whether it is sole proprietorship or a corporation, to the types of stocks that are available. Businesses today have numerous procedures to follow from start to finish. Following the right protocol of what is expected the business will grow to greater ventures. One thing is certain once a plan is in place and all the decisions are made success can be obtained. Types of Business Organization There are three types of business organization that could be selected as the basis of a business. Depending on the type of business a person wants to start they will then select the right business for form. The first main type of business is the Sole Proprietorship. This form of business has a single owner. This is the simplest type of business one can set up as there are no formal procedures for setting up a Sole Proprietorship. Many people are Sole Proprietors and do not even know it. A Partnership is also one of the main three types of business entities one can start. This type of business is when two or more people enter into a formal agreement. The capital of the business is formed by the partners who have entered into the formal agreement. They are responsible for the total debts of the firm and who share the profits and losses of the firm. Basically they form a pool of experienced resources and talented employees. Last, there is the Corporation business. The structure of the corporation is different from the other two types of business structures. A corporation has most
As an individual or a group of individuals, starting up any type of business takes strategic planning even before the business opens. Many questions will to be asked once the concept of the business is designed. Each form has its own unique style starting from which type of business organization is decided on, whether it is sole proprietorship or a corporation, to the types of stocks that are available. Businesses today have numerous procedures to follow from start to finish. Following the right protocol of what is expected the business will grow to greater ventures. One thing is certain once a plan is in place and all the decisions are made success can be obtained. Types of Business Organization There are three types of business organization that could be selected as the basis of a business. Depending on the type of business a person wants to start they will then select the right business for form. The first main type of business is the Sole Proprietorship. This form of business has a single owner. This is the simplest type of business one can set up as there are no formal procedures for setting up a Sole Proprietorship. Many people are Sole Proprietors and do not even know it. A Partnership is also one of the main three types of business entities one can start. This type of business is when two or more people enter into a formal agreement. The capital of the business is formed by the partners who have entered into the formal agreement. They are responsible for the total debts of the firm and who share the profits and losses of the firm. Basically they form a pool of experienced resources and talented employees. Last, there is the Corporation business. The structure of the corporation is different from the other two types of business structures. A corporation has most