Sole proprietorship

In society, entrepreneurship is important because it provide innovations, jobs and wealth. Reaching the goal of becoming an entrepreneur comes with its advantages and disadvantages. In the case study of Shania Jackson, she is in the initial steps of business planning to become a Christian entrepreneur who owns a faith based coffeehouse near Denver, Colorado. Mrs. Jackson has capital from her husband and two potential employees. In analyzing her case, advice will be given on what business form…

Shania, as your brother in Christ I would like you to consider the following information when forming your new business adventure. While this is an exciting time for you with new challenges and the joy of being a small business owner, there are many critical decisions you have to make when starting a new business. I’ll address each item that you need to consider and which routes I recommend you take. First, we need to decide which type of company or corporation you want to form. Based in the…

the revenues and expenses of the company whenever they happen even if the cash in yet to be received or yet to be paid. Most of the companies follow accrual accounting because it takes care of the complexities of the accounting system. For sole proprietorship businesses, where the numbers of transactions are fewer, cash accounting would be ideal. But for companies with hundreds and thousands of transactions, accrual accounting fits the bill. As most companies follow accrual accounting, there are…

liability to reducing your tax burden. Your choice of business entity makes it possible to use pretax dollars to expand your business, strengthen your holdings and diversify your portfolio. There are three basic types of business entities: sole proprietorships, partnerships and corporations, but within those…

The word "economics", is often thought to be all about money. Economics is not just about money; it is about weighing different choices or alternatives. Most of those choices may involve money, but some do not. There is four basic economic question in order for the system to work. The four are who, what, how and for whom. These questions are a planning system in order to ensure this is a product worth investing into. The first question is who? Who owns and runs the factor of production. The…

because when the reforms of 1986 were implemented, most business income was earned by C-Corporations. Broadening the tax base mitigates the lost revenue from the initial period when the tax will be cut. All proprietorships will remain taxed at the pass-through rate, since 91% of all proprietorships are small businesses. This will create an environment that will allow small businesses to grow across the U.S., and it will unleash the creative ingenuity that makes American companies superior to…

situation creates special financial and legal obligations and risks that the staffing agency must address. That is just one of the many challenges of creating the business plan for a staffing agency. Determining the Target Market If you are the sole staffing agency in a moderately sized town, then you can be a generalist that employs a variety of skills to a variety of industries. Unfortunately, most staffing agencies don't have that luxury. It is a matter of identifying a target market where…

structure of their business. Recent changes to California state law have increased the number of factors contractors should consider when deciding which business organization structure is best for their purposes. If you have been operating as a sole proprietorship/general partnership, recent changes to the law in combination with the real estate boom probably have you wondering what the advantages might be of setting your business up as an LLC or S Corporation (S Corp). You might, as many…

There are no noticeable legal requirements that may slow down planning or execution of a business. The recent changes on shareholder rights may not affect this business because it is a sole proprietorship. It might be difficult to get professional from without the country to hire in the business because of the employment restrictions effected at the beginning of 2014. However, Switzerland also has a diverse population with many people who have…

from a sole proprietorship to a Corporation, understanding the differences between the types of businesses out there is something that is a priority to ensure the success of your business. There are many advantages and disadvantages of having a these different types of business for example: If I were to start a business from my home or a store front and it is owned and ran by myself solely and there are no legal distinctions between myself and my business then this would be a sole…