商务导论第一课课件.ppt

商务导论第一课课件.ppt

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1、SettingUpaBusinessFundamentalsofBusinessEditedbyZhunminChenSlidesbyX.ZhangChapter1TopicsCoveredFormsofBusinessOrganizationsTheAdvantagesandDisadvantagesofDifferentBusinessOrganizationsObjectivesofBusinessOrganizationsTypesofbusinessformsFormsofBusinessOrganizationsBusiness

2、canbeorganizedasthreetypes:SoleProprietorshipPartnershipCorporationBusinessOrganizationDiffersintermsof:TheirOwners’LiabilitiesTheLifeoftheEntityTheAbilitytoRaiseCapitalTheTaxationSoleProprietorshipAbusinessownedandcontrolledbyoneperson.Itisthesimplestformofbusinessorganiz

3、ationtostartandmaintain.---Itisnotacorporation.Smallventurescanbeownedandmanagedbyasingleindividualsuchasrestaurants,streetgrocerystores,florists,beautysaloons,drugstoresetc.---Thebusinesshasnoexistenceapartfromyou,theowner.Itsliabilitiesareyourpersonalliabilities.Youunder

4、taketherisksofthebusinessforallassetsowned,whetherusedinthebusinessorpersonallyowned.Youincludetheincomeandexpensesofthebusinessonyourowntaxreturn.SoleProprietorshipAdvantagesEaseofOrganization-simpletoestablish(asmallfee,afewminutesandprocedure)-freerindecisionmaking(comp

5、aredwithotherbusinessorganizations,morefreedomonmanagementandoperation)-easytokeepoperationalandfinancialsecrecy(notnecessarilyreporttoshareholdersorboard)SoleProprietorshipAdvantagesSubjecttofewergovernmentpolicy-Lesstaxburden(e.g.intheUSthetaxratesforsoleproprietorshipar

6、eoftenhalfthoseforcorporations)-Exclusiveuseofprofits(beingyourownbossmeansbeingthebossofyourownmoney)SoleProprietorshipDisadvantagesUnlimitedliability(theownerispersonallyresponsibleforallaspectsofthebusiness)Limitedaccesstocapital(lackoflongperiodrelationwithbanksandless

7、securityguaranteemeaninabilitytoraiselargeamountsofmoneyLimitedmanagerialexpertise(onefieldexpertdoesnotmeanexpertineveryaspectofbusiness,i.e.marketing,finance,HR,operationetc)Lifeofthebusinessislimitedtothelifeoftheproprietorship(theonlywaytotransferownershipofasolepropri

8、etorshipistoselltheentirebusiness,otherwise,thelifeofthebusinessendswhenthesoleproprietor

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