BUSI 1800 Lecture 6: 6. forms of business ownership
29 Jul 2015
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Sole proprietorship- a business that is owned, and usually managed, by one person. Partnership- a legal form of business with two or more parties. Corporation- a legal entity with authority to act and have liability separate from its owners. Unlimited liability- the responsibility of business owners for all of the debts of the business. General partnership- a partnership in which all owners share in operating the business and in assuming liability for the business"s debts. Limited partnership- a partnership with one or more general partners and one or more limited partners. General partner- an owner who has unlimited liability and is active in managing the firm. Limited partner- an owner who invests money in the business but does not have any management responsibility or liability for losses beyond the investment. Limited liability- the responsibility of a business"s owner for losses only up to the amount they invest; limited partners and shareholders have limited liability.
