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  • Sole Proprietorship (dba) Or General Partnership ... - Shaklee

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Sole Proprietorship (DBA) or General Partnership Application Date: Important: Please read this form, and any information sent with it, completely before proceeding. Sole Proprietorship (Doing Business.

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Advantages of a sole proprietorship It is the easiest type of business to start since most states do not require this type of company to register with their Secretary of State. There are fewer regulations about having a board of directors (since it will just be you) and recorded meetings.

There are several advantages to becoming a corporation, including the limited personal liability, easy transfer of ownership, business continuity, better access to capital and (depending on the corporation structure) occasional tax benefits.

Unlike sole proprietors, partnerships, and LLCs, corporations pay income tax on their profits. In some cases, corporate profits are taxed twice — first, when the company makes a profit, and again when dividends are paid to shareholders on their personal tax returns.

A sole proprietorship has one single owner. They handle all the operations of the business. It's one of the easiest ways to structure a business. You don't have to file any documentation, except in certain circumstances. A corporation is owned by shareholders but is a legal entity that's separate from the owners.

Difference between incorporation and sole proprietorship The sole proprietor has control over all business decisions but is also responsible for all the debt, risk, and liability related to the business. A corporation, on the other hand, is its own legal entity, separate from the shareholders who own the company.

From a legal perspective, the biggest difference between a sole proprietorship and a corporation is that the former is not its own legal entity; it is simply an extension of the individual operating the business, whereas a corporation is its own legal entity.

In a sole proprietorship, you and you alone are responsible for your company's liabilities. In a general partnership, each partner is responsible for the liabilities of every other co-owner. A general partnership is a lot like a marriage in this regard.

Sole Proprietorship or Partnership—which is better? The answer depends primarily on how you plan to structure your business. If you plan to be the sole owner, Sole Proprietorship is the option to choose. If you want to set up a business together with someone else, you will have to set up a Partnership.

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© Copyright 1997-2025
airSlate Legal Forms, Inc.
3720 Flowood Dr, Flowood, Mississippi 39232
Form Packages
Adoption
Bankruptcy
Contractors
Divorce
Home Sales
Employment
Identity Theft
Incorporation
Landlord Tenant
Living Trust
Name Change
Personal Planning
Small Business
Wills & Estates
Packages A-Z
Form Categories
Affidavits
Bankruptcy
Bill of Sale
Corporate - LLC
Divorce
Employment
Identity Theft
Internet Technology
Landlord Tenant
Living Wills
Name Change
Power of Attorney
Real Estate
Small Estates
Wills
All Forms
Forms A-Z
Form Library
Customer Service
Terms of Service
DMCA Policy
About Us
Blog
Affiliates
Contact Us
Privacy Notice
Delete My Account
Site Map
All Forms
Search all Forms
Industries
Forms in Spanish
Localized Forms
Legal Guides
Real Estate Handbook
All Guides
Prepared for You
Notarize
Incorporation services
Our Customers
For Consumers
For Small Business
For Attorneys
Our Sites
US Legal Forms
USLegal
FormsPass
pdfFiller
signNow
airSlate workflows
DocHub
Instapage
Social Media
Call us now toll free:
1-877-389-0141
As seen in:
  • USA Today logo picture
  • CBC News logo picture
  • LA Times logo picture
  • The Washington Post logo picture
  • AP logo picture
  • Forbes logo picture
© Copyright 1997-2025
airSlate Legal Forms, Inc.
3720 Flowood Dr, Flowood, Mississippi 39232