1. The private sector and recreation

2. Private Sector 60% of land in the US is privately owned.
Includes properties under
non-government organization,
individual, and
commercial ownership.

3. Individual ownership Backyards Wood lots Wetlands Water bodies
Agricultural lands
Summer home properties
Other open space

4. Why are these lands important for recreation?
Often located near population centers.
Used as access to public lands.
Reduces crowding at public sites.
Can serve specific user needs.
Funding is not from the public sector.
Adds to the tax base.

5. Negative impacts of recreation on private lands
Vandalism
Trespassing
Littering
Liability issues
Loss of privacy

6. Commercial ownership Timber harvesting operations
Power & water companies
Agricultural corporations
Rail road companies
Commercial recreation businesses

7. Commercial Recreation Businesses
Lodging facilities
Retail businesses
Entertainment
Activities and programs
Food and beverages
Recreation facilities
Recreation services
Concessions on government land

8. Positive Impacts of Commercial Recreation
Tax revenues
Visitor expenditures
Business profitability
Boost local economy
Employment opportunities
Resource protection

9. Negative Impacts of Commercial Recreation
Increased cost of living
Increased impacts on resources
Increased social conflicts (e.g., user-manager)

10. Business Structures Sole proprietorship Partnership
Limited Liability Partnership
“C” Corporation
“S” Corporation

11. Sole Proprietorship Single owner business
Owner gets to make all decisions
Owner receives profits
Owner responsible for debts
Owner is personally liable
Example:

12. Partnership Two or more owners of business
Owners share decision making
Owners share profits
Owners share debts
Owners are personally liable
Example:

13. Limited Liability Partnership (LLP)
One or more managing partners + one or more limited liability (LL) partners
Managing partner(s) makes decisions
Managing partner(s) responsible for debt
LL Partner gives up right to make decisions in exchange for limited liability

14. “C” Corporation Business is set up as a separate legal entity
Managed by board of directors
Members of board of directors are not personally liable
Able to sell investment shares
Example:

15. “S” Corporation Small business corporation
Taxed differently than “C” corporations
Profits are taxed after distribution to shareholders (corporation does not pay)
Avoids double-taxing of “C” corporations
No more than 35 shareholders
Members of board of directors are not liable