MGTA01H3 Lecture Notes - Lecture 8: Sole Proprietorship, Legal Personality, Canadian Business
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MGTA01H3 Full Course Notes
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3 major ways in which you can own a business in this country: sole proprietorship, partnership, corporations. On final exam: advantage of sole proprietorships, in a market economy, you don"t need to fill out any forms, you don"t have to pay any fees, don"t have to ask or tell the government. Risks: if you screw up, harm your client, etc. you are solely liable- they will sue you personally and they will sue as much money as they can get away with. On final exam: personal and unlimited liability ; joint and several liability (each partner responsible for debts of partnership, even when incurred by another partner. Two (or more) heads are better than one. But: conflict (more than 1owner) incurred by another partner. Joint and several liability each partner responsible for debts of partnership, even when. Can lose only their investment- whatever they paid for their shares)
