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Business structures

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Business Structures for use with Oakland Schools Moodle course for economics.

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Business structures

  1. 1. Business Structures  Sole Proprietorship  The simplest form of business organization  a firm that is owned and operated by 1 person  may hire others as workers  75% of Business and most on human resources (jobs)  Examples:  plumber, hair stylist, lawn maintenance, tattoo artist
  2. 2. Business Structures  Partnership  Two or more people agree to contribute resources to business and share profits  General Partnership  Partners share both in responsibility of running the business and in any liability for debts  Limited partnership  One partner runs the business and bears unlimited liability; other partners provide financial capital, but have limited liability  Examples: physicians, lawyers
  3. 3. Business Structures  Corporation  A legal entity with an existence that is distinct from the people who organize, own and run it  Private Corporation  Stock ownerships limited to just a few people sometimes family members; shares of stock are not publicly traded  Publicly traded Corporation  Shares of stock owned by many (shareholders); stock can be bought or sold by the public in stock exchange markets  90% goods/services bought  Examples: Ford, Nike, Starbucks, Google