BUSN 101 Lecture Notes - Lecture 1: Limited Liability Partnership, Limited Liability, Disability Insurance

• School: Drexel University
• Department: General Business
• Course: BUSN 101
• Professor: Susan Epstein

Document Summary

Sole proprietors: business owned/ managed by 1 person (most common) Partnerships: 2 or more people legally agree to become co-owners of a business. Corporations: a legal entity w/ authority to act & have liability apart from its owners. Sole proprietors: easiest kind of business to explore. You are responsible for all debts/ damages. Limited financial resources: funds are limited to what the one owner can gather. Management difficulties: it"s hard to hire qualified employees to run the business cuz big companies offer more. Few fringe benefits: no paid health insurance, no paid disability insurance, no pension plan, no sick leave, no vacation pay. Limited life span: if the owner dies then business no longer exists (unless it"s taken over by someone else) All owners share in operating the business & in assuming liability for the. General partner: an owner (partner) who has unlimited liability & is active in managing the firm.