Business Organization Essay

Submitted By dwrecks

Words: 350

Pages: 2

Open Document

Business Organization
BUS/210
May 4, 2012
A joint stock company is when a person gives investors ownership of their business in exchange for capital. This means that the developers of the business receive a smaller share of the company’s profits, while the investors of the business will receive a greater share as their investments are what funded the operation. For example, I person may have an idea to create a new exercise program and build at video exercise business. To build capital for this venture, the entrepreneur may offer partial ownership to would be investors to raise the capital for production and marketing. The investors would then be owners of the business and receive a larger percentage of the profits. A benefit to joint stock companies is the investors assets are protected by limited liability.
Limited liability is protection for investors. When a company fails and goes bankrupt, investors can only lose what they initially invested in the company; unlike unlimited liability, where investors can lose their personal assets as well. In the case of the exercise program, if the idea failed; investors could only lose the capital that was given to start the program such as media materials or advertising costs.
A partnership forms when two or more professionals bring their talents together to collectively run a business. Within a partnership the partners are the sole owner/investors. The creator of the exercise program could partner with others who have other

Essay on Business Organizations

Business Organization Comparison ACC/561 April 15th, 2012 Business Organization Comparison When choosing to start a business, there are different forms of organization one must consider. There are sole proprietorships, partnerships, C corporations and S corporations. Each of these forms of business organization has its advantages and disadvantages, its own requirements with regards to financial statements, tax implications, legal implications and accounting implications. Each of these…

Words 1305 - Pages 6

Essay on Business And Organizations

Business and Organizations Linda J. Page and Eva Dreikurs Ferguson, Column Editors In the working environment, relations among people can be far more complex than in other spheres of human life. The focus of this column is to show how the ideas and methods of Individual Psychology are useful in the workplace as well as to compare Adierian methods with other approaches. Individual dynamics as well as organizational and group dynamics issues will be discussed in detail. Potential contributors are…

Words 5745 - Pages 23

Essay on Business Organization

I. SOLE PROPRIETORSHIP This type of business form is owned solely by one person. The business can choose to do business under a fictitious name by filing a d.b.a., but the owner is the business. The following seven characteristics in bullets below describe the advantages and disadvantages of a sole proprietorship: • LIABILITY – A sole proprietor (owner) is personally liable for everything in regards to the business. This unlimited liability lies with the owner of the company because there…

Words 3133 - Pages 13

Business organization Essay

beginning statements of someone wanting to start their own business. So many people have made these same comments countless times, only to see their dreams dashed by failure. The failures happen in many ways but mostly its failure to follow through, and a lack of understanding of how to create and sustain a successful business. The first step in any business is to understand what the business needs to succeed. According to the Small Business Administration 50 percent of businesses will fail within…

Words 977 - Pages 4

Essay about A Business Is an Organization

Chapter 1 Quiz A business is an organization that seeks to earn ______ by providing ______. | | | | profit; goods, services, and ideas | | revenue; sales | | profit; goods and services | | profit; revenue | | revenue; goods, services, and ideas | | | | | | | | | | | | | ______ is what remains (in anything) after a business's ______ have been subtracted from its ______. | | | | | Revenue, expenses, profit | | Revenue, profits…

Words 747 - Pages 3

Business Organization Essay examples

BUSINESS ORGANIZATION UNIVERSITY OF PHOENIX January 17, 2013 Most businesses start from an idea of one or more individual who decide to share their ideas, may it be selling a particular item, invention, or to services from laundry matt to a big restaurant chain or a hotel. Commonly it will start from a single store, from a single business establishment, Sole Proprietorship just like a hotdog stand, a salon (some not all), which the owner would be liable and takes all the financial risks…

Words 457 - Pages 2

A Brief Note On Business Organization

Business Organization Mindi Hackenberg BUS/210C September 5, 2013 Carrisa Baptiste Business Organization In a small town named Mechanicsburg, Pennsylvania a man by the name of Crasher took his love for cheerleading and decided to open an all-star cheerleading gym. He wanted the name of his gym to be Cheer Tyme. Before doing following through with his passion he had lots of business planning and forms of business organizations to think of! To start he needed to find some interested investors…

Words 340 - Pages 2

Legal Issues For Business Organizations

LIT1: Legal Issues for Business Organizations When evaluating your current situation, I thought it was best to just lay out to you all of your options, with the pros and cons to each. After detailing each specific type of corporation option, I will provide you with my final analysis which will be included in the memorandum that follows all of the given information. If you have any questions or comments for me, please just reply to the memo and we will schedule a sit down talk, where…

Words 3057 - Pages 13

Chapter 13 Business Organization

CONCEPTS - FINAL CHAPTER 13 – BUSINESS ORGANIZATIONS 1. BUSINESS ORGANIZATIONS - WRITING/CERTIFICATE REQUIREMENT 2. BUSINESS ORGANIZATIONS - LIMITED LIABILITY 3. GENERAL PARTNERSHIPS - PARTNERS' RIGHTS AND DUTIES 4. LIMITED PARTNERSHIPS - CHARACTERISTICS 5. PIERCING THE CORPORATE VEIL a. If the court pierces the corporate veil, the shareholders have unlimited personal liability for the corporate debts. 6. LIMITED LIABILITY COMPANIES – CHARACTERISTICS a. LLC’s are treated like a corporation…

Words 2578 - Pages 11

Solring Me To Research Business Organizations For A Restaurant Business

Street Pittsburgh, PA 15023 Mr. Jones: Thank you for hiring me to research business organizations for the restaurant business that you will be starting. After reading the four requirements that you gave me, which were: easiest formation, lowest amount of legal taxation paid, most personal control over the daily operations, and least liability for any mishaps that may occur during the ordinary course of business, I have researched both the benefits and the detractions of sole proprietorships…

Words 970 - Pages 4