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- An investment company is a specialized business that is engaged in the business of investing pooled capital into financial securities. Investment companies can be privately or publicly owned, and they engage in the management, sale, and marketing of investment products to the public.
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Dec 5, 2022 · When starting a business, there are different types of business ownership structures that you can choose from. Each has its pros and cons, usually dealing with tax structures and liability.
- Kimberlee Leonard
- Sole Proprietorship. Perfect Ownership for Low-Risk Small Businesses. A sole proprietorship is the simplest form of business owned by an individual. Many individuals use this legal structure because it is easier and cheaper to start than others.
- Partnership. Best Ownership for Business Partners. A partnership is a business collaboration involving two or more owners. There is no partnership with one person in the picture.
- Limited Liability Company. A Perfect Type of Ownership for High-Risk Small Businesses. A limited liability company combines the best features of a sole proprietorship and a corporation.
- Private Corporation. Type of Ownership for Large Family-Owned Companies. A private corporation is a unique business ownership type owned by a small number of shareholders.
- Sole proprietorship. A sole proprietorship occurs when someone does business activities but doesn’t register as another kind of business. There is no separate business entity, meaning there is no distinction between the business owner’s personal and professional assets and liabilities.
- Partnership. Similar to sole proprietorships, a partnership is the simplest type of business ownership when two or more people are involved. There are two kinds: limited partnerships and limited liability partnerships.
- Limited liability company. Not to be confused with a limited liability partnership, a limited liability company (LLC) separates the owner’s personal and professional assets.
- Corporations. There are actually a few separate types of corporations, and each one has something that makes it a little different. C corporation. A C corporation, or just a regular corporation, is its own entity kept separate from its owners.
- Sole proprietorship. A sole proprietorship is easy to form and gives you complete control of your business. You're automatically considered to be a sole proprietorship if you do business activities but don't register as any other kind of business.
- Partnership. Partnerships are the simplest structure for two or more people to own a business together. There are two common kinds of partnerships: limited partnerships (LP) and limited liability partnerships (LLP).
- Limited liability company (LLC) An LLC lets you take advantage of the benefits of both the corporation and partnership business structures. LLCs protect you from personal liability in most instances, your personal assets — like your vehicle, house, and savings accounts — won't be at risk in case your LLC faces bankruptcy or lawsuits.
- Corporation. C corp. A corporation, sometimes called a C corp, is a legal entity that's separate from its owners. Corporations can make a profit, be taxed, and can be held legally liable.
- Sole Proprietorship. Sole proprietorship is the default structure of a business that hasn’t filed any paperwork to create a legal entity. It is the simplest form of business ownership, and the structure of choice for four out of five small business owners with no employees.
- Partnerships. Partnerships, often called general partnerships, are businesses with more than one owner. If you team up on a business venture without forming a legal business entity through the state, your business is a partnership by default.
- Limited Liability Partnership (LLP) An LLP is a legal entity available in some states to provide the simplicity and pass-through taxation of a partnership while limiting liability for the partners.
- Limited Liability Company (LLC) An LLC is a legal entity formed by creating an LLC operating agreement and filing articles of organization with the secretary of state.
Feb 1, 2023 · What are Business Investors? Business investors are individuals or a group who commit capital toward the creation of a new business with the expectation of monetary gain upon the success of the new business.
Aug 11, 2023 · An investment company is a corporation or trust engaged in the business of investing the pooled capital of investors in financial securities. This is most often done either through a...
