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Ch 1: Business Ownership Types

About This Chapter

Take a look at these video lessons and discover how to distinguish the different types of business ownership. Follow along with instructors as they provide key definitions about partnerships, corporations, and other terms.

Business Ownership Types - Chapter Summary and Learning Objectives

There are many ways to run a business, and in this chapter you will uncover precise information about how ownership affects they way each business is run. The individual lessons focus on different types of businesses, including a thorough review of definitions and examples of each business type. By making your way through the chapter, you will become more knowledgeable concerning the following:

  • Differentiating between a sole proprietorship and a general partnership
  • Recognizing the advantages of the different types of partnerships
  • Identifying the hybrid nature of the limited liability company
  • Describing the inner workings of the corporate structure
  • Distinguishing between for-profit and nonprofit corporations
  • Understanding how cooperatives function in business
  • Establishing the features of a merchandising company

Lesson Objective
What Is Sole Proprietorship: Definition, Advantages & Disadvantages Describe the individuals who run these types of businesses and list the benefits and obstacles they may encounter.
General Partnership: Definition, Advantages & Examples Discuss how this partnership works, the expected liabilities, and the potential advantages.
What Is a Limited Partnership? - Definition, Advantages & Disadvantages Elaborate on this alternative form of partnership, then explain the pros and cons.
What Is a Limited Liability Partnership? - Definition, Advantages & Disadvantages Compare this partnership with the previous two types of partnerships, then offer examples of the benefits and drawbacks of this partnership.
What Is a Limited Liability Company? - Definition, Benefits & Examples Go over how this type of company structure uses the elements of both a corporation and a partnership.
What Is Corporate Structure? - Definition, Types & Examples Outline the components of the corporate structure, establish how corporations are operated, and explain who owns these corporate entities.
What is a Nonprofit Corporation? - Definition & Example Differentiate between a regular and a nonprofit corporation, identify the advantages of nonprofits, and provide a sample listing of some current nonprofit corporations.
The Role of Cooperatives in Business Determine why and how cooperatives are utilized in business, then further explore the roles played by cooperatives.
Merchandising Company: Definition, Activities & Income Components Establish a working definition for merchandising company, then expand on this definition to include the company's major components and daily activities.

9 Lessons in Chapter 1: Business Ownership Types
Test your knowledge with a 30-question chapter practice test
What Is Sole Proprietorship: Definition, Advantages & Disadvantages

1. What Is Sole Proprietorship: Definition, Advantages & Disadvantages

Sole proprietorship is a business structure in which the business is owned and operated by one person. Explore the definition, advantages, and disadvantages of sole proprietorship and learn how they are formed.

General Partnership: Definition, Advantages & Examples

2. General Partnership: Definition, Advantages & Examples

General partnerships are the most typical, easy, and cost-effective form of business partnerships. Discover what it means to be in a general partnership as well as the advantages and disadvantages of being in one.

What Is a Limited Partnership? - Definition, Advantages & Disadvantages

3. What Is a Limited Partnership? - Definition, Advantages & Disadvantages

A limited partnership is a type of business partnership that involves a general partner responsible for the everyday operations and limited partners, who invest in the business. Explore the definition, advantages, and disadvantages of a limited partnership.

What Is a Limited Liability Partnership? - Definition, Advantages & Disadvantages

4. What Is a Limited Liability Partnership? - Definition, Advantages & Disadvantages

A limited liability partnership is a form of business structure in which the owners are usually not liable for their partner's actions. Learn the definition of a limited liability partnership, and examine its main advantages and disadvantages.

What Is a Limited Liability Company? - Definition, Benefits & Examples

5. What Is a Limited Liability Company? - Definition, Benefits & Examples

A limited liability company is a structure in business that is a hybrid of a corporation and partnership. Explore more about a limited liability company, including its tax benefits, liability advantage, and some examples of these types of companies.

What Is Corporate Structure? - Definition, Types & Examples

6. What Is Corporate Structure? - Definition, Types & Examples

Corporate structure refers to the way a business is organized to enable it to achieve its goals. Explore the definition, types, overview, and examples of corporate structure. Review how the functions of shareholders, boards of directors, and company officers should be considered in corporate structure.

What is a Nonprofit Corporation? - Definition & Example

7. What is a Nonprofit Corporation? - Definition & Example

Nonprofit corporations are formed not to earn profit but to serve the public good. Learn about the definition and examples of a nonprofit corporation and explore the benefits of nonprofit corporations, aside from being tax-exempt.

The Role of Cooperatives in Business

8. The Role of Cooperatives in Business

In business, a cooperative is an organization owned by the people who are members of the organization. Learn about the role of cooperatives in business, explore the different types, and understand how cooperatives function in the economy and society.

Merchandising Company: Definition, Activities & Income Components

9. Merchandising Company: Definition, Activities & Income Components

A merchandising company buys finished goods and resells them at a relatively higher price. Learn about the definition, activities, and income components of merchandising companies, and explore their inventory systems and inventory reporting.

Chapter Practice Exam
Test your knowledge of this chapter with a 30 question practice chapter exam.
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Practice Final Exam
Test your knowledge of the entire course with a 50 question practice final exam.
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More Exams
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