0
What else can I help you with?
What is the differences between sole proprietorship patnership and corporation?
* A sole proprietorship is a business consisting of one owner. That owner may be either an individual or a corporation. If the owner is an individual (who is also personally liable for all the debts of the business) and carries on business under a name other than his or her personal name, that name must be registered under The Business Names Registration Act. * A partnership is a business owned by one or more individuals or corporations (in any combination). Within a partnership, each partner is potentially liable for all debts of the partnership. If the partnership carries on business under a name, that name must be registered under The Business Names Registration Act. * A corporation is a legal entity that has a separate legal existence apart from its shareholders and directors. It is sometimes also referred to as a 'limited company'. Since it has a separate legal existence from its shareholders and directors, they are generally not personally liable for the debts of the corporation beyond the amount contributed. Although it is the shareholders which 'own' a corporation, it is the directors who manage the day-to-day operations.
What is features of a partnership business?
Features of Partnership form of business organisationAfter having a brief idea about partnership, let us identify the various features of this form ofbusiness organisation.i. Two or more Members - You know that the members of the partnership firm arecalled partners. But do you know how many persons are required to form apartnership firm? At least two members are required to start a partnership business.But the number of members should not exceed 10 in case of banking business and 20in case of other business. If the number of members exceeds this maximum limit thenthat business cannot be termed as partnership business. A new form of business willbe formed, the details of which you will learn in your next lesson.ii. Agreement: Whenever you think of joining hands with others to start a partnershipbusiness, first of all, there must be an agreement between all of you. This agreementcontainsothe amount of capital contributed by each partner;o profit or loss sharing ratio;o salary or commission payable to the partner, if any;o duration of business, if any ;o name and address of the partners and the firm;o duties and powers of each partner;o nature and place of business; ando any other terms and conditions to run the business.iii. Lawful Business - The partners should always join hands to carry on any kind oflawful business. To indulge in smuggling, black marketing, etc., cannot be calledpartnership business in the eye of the law. Again, doing social or philanthropic work isnot termed as partnership business.iv. Competence of Partners - Since individuals join hands to become the partners, it isnecessary that they must be competent to enter into a partnership contract. Thus,minors, lunatics and insolvent persons are not eligible to become the partners.However, a minor can be admitted to the benefits of partnership i.e., he can have ashare in the profits only.Business Studies74v. Sharing of Profit - The main objective of every partnership firm is sharing of profitsof the business amongst the partners in the agreed proportion. In the absence of anyagreement for the profit sharing, it should be shared equally among the partners.Suppose, there are two partners in the business and they earn a profit of Rs. 20,000.They may share the profits equally i.e., Rs. 10,000 each or in any other agreedproportion, say one forth and three fourth i.e. Rs 5,000/- and Rs. 15000/-.vi. Unlimited Liability - Just like the sole proprietor the liability of partners is alsounlimited. That means, if the assets of the firm are insufficient to meet the liabilities, thepersonal properties of the partners, if any, can also be utilised to meet the businessliabilities. Suppose, the firm has to make payment of Rs. 25,000/- to the suppliers ofgoods. The partners are able to arrange only Rs. 19,000/- from the business. Thebalance amount of Rs. 6,000/- will have to be arranged from the personal propertiesof the partners.vii. Voluntary Registration - It is not compulsory that you register your partnershipfirm. However, if you don't get your firm registered, you will be deprived of certainbenefits, therefore it is desirable. The effects of non-registration are:o Your firm cannot take any action in a court of law against any other parties forsettlement of claims.o In case there is any dispute among partners, it is not possible to settle thedisputes through a court of law.o Your firm cannot claim adjustments for amount payable to or receivable from anyother parties.viii. No Separate Legal Existence - Just like sole proprietorship, partnership firm alsohas no separate legal existence from that of it owners. Partnership firm is just a namefor the business as a whole. The firm means the partners and the partners collectivelymean the firm.ix. Principal Agent Relationship - All the partners of the firm are the joint owners ofthe business. They all have an equal right to actively participate in its management.Every partner has a right to act on behalf of the firm. When a partner deals with otherparties in business transactions, he/she acts as an agent of the others and at the sametime the others become the principal. So there always exists a principal agent relationshipin every partnership firm.x. Restriction on Transfer of Interest - No partner can sell or transfer his interest toany one without the constent of other partners. For example - A, B, and C are threepartners. A wants to sell his share to D as his health does not permit him to work anymore. He can not do so until B and C both agree.xi. Continuity of Business - A partnership firm comes to an end in the event ofdeath, lunacy or bankruptcy of any partner. Even otherwise, it can discontinue itsbusiness at the will of the partners. At any time, they may take a decision to end theirrelationship.
Which form of business organization has two different types of partners?
A limited partnership (LP) has two different types of partners: general partners and limited partners. General partners manage the business and are personally liable for its debts, while limited partners contribute capital and have limited liability, meaning they are only liable up to the amount of their investment. This structure allows for both active management and passive investment in the business.
An amount owed by a business?
Liability
What is the amount a business earns over and above what it spends for salaries and other?
What is the amount a business earns over and above what it spends for salaries and other?
What was the maximum gift amount allowed in 2015?
The maximum gift amount allowed in 2015 was 14,000 per person.
What is the maximum amount of time allowed by law for a refund to be processed?
The maximum amount of time allowed by law for a refund to be processed is typically 30 days.
What was the maximum catch up amount allowed for 401k contributions in 2016?
The maximum catch-up amount allowed for 401k contributions in 2016 was 6,000.
Unlike a gener partnership in a limited partnership?
In a limited partnership an investor is not in solved in managing the business. The partner does not have any financial liability except for the amount they invested.
Is there a maximum amount of gas that can be used or allowed per Nascar race?
No there is no maximum in NASCAR.
What is the maximum amount that can be deducted for a business gift expense on taxes?
The maximum amount that can be deducted for a business gift expense on taxes is 25 per recipient per year.
The maximum amount of credit you are allowed by a creditor is called?
line of credit
The maximum amount of credit you are allowed by a creditor is called an?
line of credit
What is a sentence with maximum in it?
She took the maximum amount that was allowed out of the bank. He drove the car at the maximum speed limit. They put the maximum effort into winning the game.
What is capacity planning and control?
Capacity planning and control is a very important aspect of a business. Businesses are allowed to have a maximum amount of customers in their building at once so this has to be planned and controlled.
What is the maximum amount of liquid in milliliters that is allowed to be carried on a plane?
The maximum amount of liquid allowed to be carried on a plane is 100 milliliters per container, and all containers must fit in a clear, resealable plastic bag with a maximum capacity of 1 liter.
What is the maximum amount of liquid in ounces that is allowed on planes?
The maximum amount of liquid allowed on planes is 3.4 ounces per container, and all containers must fit in a single quart-sized clear plastic bag.
