Welcome to Unit 9: Business Ownership!
In this unit, we will explore the different ways businesses can form as legal entities and various types of business ownership (sole proprietorship, partnership, etc.) and how these formation decisions impact the future of a business. We will explore how business entities consider taxation, whether or not to share profits, manage financing, evaluate risk, and set strategy. We will also examine how organizations can change over time, including mergers and acquisitions and franchising.
By the end of this unit, you should be able to:
- List the important factors in choosing an organizational type
- Explain the important factors in choosing an organizational type
- Discuss the advantages and disadvantages of sole proprietorship
- Discuss the advantages and disadvantages of partnerships
- Discuss the advantages and disadvantages of corporations
- Discuss the advantages and disadvantages of LLCs & LLPs
In order to successfully complete this unit, you’ll need to do the following:
1. Read this Open Educational Resource (free to access): Business Ownership1
Please note: you do not need to complete the activities listed in this resource.
2. Watch this video from One Minute Accounting on YouTube3 (also embedded below). Although your reading above will discuss each of these three types of business organizations in more detail, these are the three main types of business ownership that we will focus on.
As always, if you need more information, you can ask me a question. For information on due dates, check our Course Schedule.
Sources:
1CC LICENSED CONTENT, ORIGINAL Why It Matters: Legal Ownership. Authored by: Linda Williams and Lumen Learning. License: CC BY: Attribution
2One Minute Accounting on YouTube: https://youtu.be/rdG0x8uDEGc
