Ch 1: Business Ownership Types
About This Chapter
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. |
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.
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.
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.
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.
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.
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.
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.
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.
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.
Earning College Credit
Did you know… We have over 220 college courses that prepare you to earn credit by exam that is accepted by over 1,500 colleges and universities. You can test out of the first two years of college and save thousands off your degree. Anyone can earn credit-by-exam regardless of age or education level.
To learn more, visit our Earning Credit Page
Other Chapters
Other chapters within the Accounting 302: Advanced Accounting course
- Key Accounting Concepts
- Journals & Ledgers in Accounting
- Accounting Equations & Formulas
- Financial Statements, Balance Sheets & Income Statements
- Analyzing Financial Statements
- Financial Statement Ratios
- Accounting for Inventory
- Accounting for Depreciation
- Accounting for Compensation, Taxes & Liabilities
- Adjustments & Closing Entries
- Corporate Accounting
- Departmentalized Accounting
- Taxation for Corporations
- Business & Financial Forecasting
- Required Assignments for Accounting 302
- Studying for Accounting 302