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The questions are in column one. I need every column filled out. The sole proprietorship column is the example I have already done. 1.) Sole

The questions are in column one. I need every column filled out. The sole proprietorship column is the example I have already done.

1.)

Sole Proprietorship

Chapter 30

General Partnership

(Fill out this column)

Chapter 31

Limited Liability Partnership

Chapter 31

What is it?

The simplest form of business organization, in which the owner is the business.

What document, if any, is required to create this entity?

None.

Legal Position (Is it a separate entity for legal purposes?)

Not a separate entity the owner is the business.

Liability

Unlimited legal liability for sole proprietor.

Duration

By decision of owner. Business dissolves upon death of proprietor.

Can/How can an owners interest in the company be transferred to another person?

Can be transferred, but then sole proprietorship ends.

Management

By decision of proprietor.

Taxation

Proprietor pays only personal income taxes (including Social Security and Medicare taxes) on business profits, which are reported as personal income on individuals tax return (Schedule C Profit and Loss from Business). Allowed to establish retirement accounts.

Organizational fees, annual license fees, and annual reports

None/minimal.

Transaction of business in other states

Typically, no limitations.

Advantages

Proprietor receives all profits, easy and not costly to start, few legal formalities, flexible, sole proprietor makes all decisions, no filings required (except licenses)

Disadvantages

Proprietor assumes burden of any losses or liabilities unlimited (personal) legal responsibility, opportunities for capital limited to personal funds and loans, lack of continuity on death of the sole proprietor (when the owner dies, the business dies automatically dissolves).

Limited Partnership

Chapter 31

Limited Liability Company

Chapter 32

Corporation

Chapter 33

What is it?

What document, if any, is required to create this entity?

Legal Position

Liability

Duration

Can/how can an owners interest in the company be transferred to another person?

C-Corp -

S-Corp -

Management

C-Corp -

S-Corp -

Taxation

C-Corp -

S-Corp -

Organizational fees, annual license fees, and annual reports

Transaction of business in other states

Advantages

C-Corp -

S-Corp -

Disadvantages

C-Corp -

S-Corp -

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