Business Idea Sole Proprietorship

Introduction to Business

Written by Roberto Taylor

We all have heard the word ‘business’, by definition, business is an organization or an enterprise entity that involves in commercial, industrial or professional activities. A company negotiates their activities through good production, services offer or retail of manufactured products.

What are the different kinds of business structures?

A sole proprietorship is owned by an individual who takes full ownership of assets and debt obligations.

The partnership is owned by multiple individuals that share duties to operate the business.

Corporation has unfavorable taxation rules for the owners of the business.

Lastly, the fourth business structure is the limited liability, it is the combination of corporation and partnership.

Businesses can be a small owner-operated company or a multinational corporation.

Prior to a business is formed, a business plan is created. The role of a business plan outlines the strategic intentions and logistics to achieve the goal.

Putting up a business is not easy, you have to determine the legal structure of the business for there are tax liabilities, permits and licenses to operate legally. Moreover, legal obligations to their employees also apply.

It is better to learn how to run a business, for it is a self-paced activity.

About the author

Roberto Taylor

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