| A | B |
|---|
| Owned by investors who purchase stock or part ownership in the company | corporation |
| owner must have many skills | sole proprietorship |
| requires a contract between parties | partnership |
| owned by two or more persons who share the responsibilities | partnership |
| can't share any of the losses if the business does not do well | sole proprietorship |
| must register with the state in order to get permission to operate | corporation |
| hard to dissolve if one of the owners want to leave the business | partnership |
| Has the risks and skills necessary to operate the business is shared | partnership |
| Allows the owner to keep all of the profits | sole proprietorship |
| pays higher taxes and is more expensive to form and operate | corporation |
| allows the owner to make all of the decisions regarding the business | sole proprietorship |
| Must keep extensive records so the public knows how the business is doing | corporation |
| owner can transfer ownership easily by transfering stock | corporation |
| Only business with limited liability | corporation |
| owner can lose their personal property if the business fails | sole proprietorship |
| Must follow all the rules set up by the state in order to legally operate | corporation |
| profits must be shared among the owners | partnership |
| Has a Board of Directors | corporation |
| Has a CEO who runs the daily operations | corporation |
