Warm Up – May 7 Answer the following questions on a post it: 1. Describe the difference between a sole proprietorship and a partnership 2. Describe the advantages and disadvantages for a sole proprietorship and a partnership 3. What is unlimited liability? 4. What is the purpose of a article of partnership?

Types of Business - Corporations UNIT 7: The ECONOMY Types of Business - Corporations

Partnership Now working with a partner, you will create a company and develop a business plan together – must include the same elements as when you did your sole proprietorship – has to be a whole new company – cannot be one of the companies that you already developed YOU CANNOT SPEAK OR LOOK AT YOUR PARTNER, ONLY SHARE THE DOCUMENT THAT YOU WILL BOTH WILL BE WORKING ON

Partnership In your business plan, you must include an Articles of Partnership - Give one point for each category to the person who you feel is more responsible for the ideas described in that category: Name of Your Company – make this the title of your business plan Company description - describes what you do. Market analysis - research on your industry, market, and competitors. Organization and management - your business and management structure. Service or product - the products or services you’re offering. Marketing and sales - how you’ll market your business and your sales strategy. Funding request - how much money you’ll need for next 3 to 5 years and what you needs the funds for

Sole Proprietorship and Partnership Evaluation After finishing your partnership business plan –respond to the following questions on your post it: 1. What benefits did working alone on your own personal business plan have? 2. What benefits did working as part of a partnership have? 3. What challenges did you face working on your own business plan? 4. What challenges did you face working with a partner? 5. When working with a partner, what elements become essential in order to have a successful working relationship? 6. After working alone on your own business plan and with a partner, which one did you prefer?

Corporations Type of Business that is recognized as a separate legal entity. Permanent Organization Play a vital role in the U.S Economy Advantages: More than one person to provide capital, share responsibility, furnish ideas, and do the work, share risks Disadvantages: Many people making decisions that can disagree on how to run the business, tougher to manage tasks and workers

Corporations Corporations raise money by selling stock – part ownership of the company Charter – a written document filed with a U.S. state by the founders of a corporation detailing the major components of a company such as its objectives, its structure and its planned operations.

Corporations Limited Liability- is where a person's financial liability is limited to a fixed sum, most commonly the value of a person's investment in a company or partnership. If a company with limited liability is sued, then the claimants are suing the company, not its owners or investors.

TOD – May 7 Answer the following questions on the same post it: What is the difference between a sole Proprietorship, Partnership, and a corporation? What are the differences between unlimited liability and limited liability? What types of business would have unlimited liability? What kind of business would have limited liability? Describe the advantages and disadvantages of a Corporation