What are the different types of business enterprises and state the advantages and disadvantages when seen from the viewpoint of a manager?

Answer 1

I will assume you mean owner v. manager in the above question. There are essentially five business types and slight variations from them: sole proprietorship - it's all yours, you make all the decisions and assume all liabilities. Be careful when you clean the floor. partnership - joint venture - you do the above with someone else but share the decisions and liabilities. They can screw you over and usually end up dissolving many friendships and bank accounts. limited liability corp - the above but with limited liability, most law firms are llc. It is by law an individual and therefore responsible/liable itself. The llc 'partners' have controlling interest in the llc and voting rights to make decisions/changes. The weight of the voting is determined by shareholder stakes. It is not public however, kind of like a club with exclusive members. corporation - the above but there are shares for sale to the public. Controlling interest is usually with the founder or BOD or a few primary stakeholders, however, since it is public anyone with enough money can buy a controlling stake and do what they want with the company like Warren Buffett, George Soros and the like. s corporation - like the above but used primarily with smaller companies. there are special tax conditions as an 's' corp. Not as heavily regulated, the 's' corp does have filing compliance issues to meet in exchange for the tax favors. Easy to buy and sell.