What is Entrepreneurship?

1. What is Entrepreneurship?

2. What is Entrepreneurship

3. Benefits to Society What Entrepreneurs Contribute To Society(Video)

4. Rewards and Risks Rewards Risks

5. What Makes a Successful Entrepreneur? Online Personality Quiz

6. Rewards and Risks Rewards Risks

7. What Makes a Successful Entrepreneur? Online Personality Quiz

8. Sole Proprietorship sole proprietorship a business that is owned and operated by one person The easiest and most popular form of business ownership is the sole proprietorship.

9. The owner of a sole proprietorship: Sole Proprietorship • receives the profits, • incurs any losses, and • is liable for the debts of the business.

10. Sole Proprietorship liability protection insurance against the debts and actions of a business In a sole proprietorship the owner must decide how much liability protection he or she needs.

11. Advantages Sole Proprietorship Sole proprietorship is easy and inexpensive to create. The owner has complete authority over all business activities. It is the least regulated form of business ownership. The business pays no taxes; income is taxed at thepersonal rate of the owner. 11

12. Disadvantages Sole Proprietorship The owner has unlimited liability. Raising capital is more difficult. The business is totally reliant on the skills and abilities of the owner. The death of owner dissolves the business unless there is a will to the contrary. 12

13. Disadvantages unlimited liability full responsibility for all debts and actions of a business The biggest disadvantage of a sole proprietorship is financial. In this form of business ownership, the owner has unlimited liability.

14. Partnerships partnership an unincorporated business with two or more owners who share the decisions, assets, liabilities, and profits A partnership draws on the skills, knowledge, and financial resources of more than one person.

15. Advantages Partnerships Partnerships are inexpensive to create. General partners have complete control. Partners can share ideas. Partners can secure investment capital more easily and in greater amounts. 15

16. Disadvantages Partnerships It is difficult to dissolve one partner’s interest without dissolving the partnership. There may be personality conflicts. Partners can be held liable for each others’ actions. 16

17. In a corporation, the owners of the business are protected from liability for the actions of the company. The Main Idea

18. What Is a Corporation? corporation a business that is registered by a state and operates apart from its owners; it issues shares of stock and lives on after the owners have sold their interest or passed away • There are three types of corporations: • C-corporation • Subchapter S corporation • nonprofit corporation

19. C-Corporation C-corporation an entity that pays taxes on earnings; its shareholders pay taxes as well A C-corporation is the most common corporate form.

20. C-Corporation shareholders the owners of a corporation In smaller corporations, the founders generally are the major shareholders.

21. Advantages C-Corporation status limited liability ability to raise investment money perpetual existence employee benefits tax advantages 21

22. Disadvantages C-Corporation expensive to set up income more heavily taxed subject to double taxation on income pays taxes on profits stockholders taxed on dividends 22

23. Nonprofit Corporation • A nonprofit corporation must fall within one of four categories: • religion • charity • public benefit • mutual benefit nonprofit corporation a legal entity that makes money for reasons other than the owner’s profit; it can make a profit, but the profit must remain within the company