Bus 210

Week Two Checkpoint-Business Organization

BUS/210

* Sole proprietorship

Comic book plus owned by John Doe has been operating in the town square for 15 years recently John has seen a major increase in his business due the numerous success of comic book films to hit the big screen. John’s business has been so successful that he is considering opening a new location on the other side of town.

Partnership

John has decided to offer a limited partnership to Jane Doe a successful toy store owner her expertise in merchandising and record keeping has made her successful. By combining the two business models Jane can focus on the finances and marketing of their company allowing John to oversee the day to day operation of both facilities. Since their merger they have been able to triple their output.

* Joint-stock company

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* Jane and John have been operating for 3 years now and have 18 locations. John and Jane have decided to open their company to investors with the continued re-investment into their company they are looking for capital for a major expansion. John and Jane have decided to sell stock in their company to help further its growth they would retain 51% of the stock tickets and offer the other 49% to potential investors. This will now be a joint-stock company were their investors share the risk and success of the company.

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* Limited liability Company

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* Jane and John have been in business together for 10 years and now have 100 units, business is booming John and Jane along with their board of investors have agreed to go public with their company becoming a limited liability company were their share holders can invest without out the fear of being pursued legally for the company short falls in the event of bankruptcy or a major down turn in the economy.

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