Legal Forms Of Organization Essay

Legal Forms of Organization
Choosing a Legal Form for Your Business
The legal form of your business indicates who the actual owners are. The sole proprietorship, partnership, and C. Corporation, are the most basic options available. There are legal forms that are more highly specialized but most businesses find one of the three common forms that suit their needs.
Sole Proprietorship
A sole proprietorship is as the name implies owned by one person carrying unlimited liability for the company. The proprietor owns all the company’s assets but is subject personally to all creditor claims. He or she alone benefits from all profits but must also bear all losses, risks, and debts. Liability is extended far beyond the owner’s investment. Despite these

Partnership
A partnership is a for-profit legal entity created by two or more co-owners. It is similar to a sole proprietorship in that co-owners share unlimited liability. You don 't have to contribute capital to become a partner. In this case you would not be entitled to a distribution of assets upon sale of the partnership, but only receive your share of the profits. Personal compatibility with fellow partners is critical to the success of a partnership.
Participating in a partnership, while having benefits, is rife with potential problems. Be aware you are partners have the ability to legally bind you without your permission. This is referred to as agency power. In order to protect yourself and your family, always create a partnership agreement stating explicitly the rights and duties of each partner. Always seek legal counsel when forming a partnership.
A partnership is terminated upon the death, incapacity, or withdrawal of any partner. These occurrences require liquidation or reorganization of the partnership. Be aware that liquidation can result in substantial losses to the remaining partners. Be sure you are legally protected going in.
The C.

Why?
Legal Forms of Property
Forms of Property and Value
Andrew Mason started a website named The Point in 2007, a social initiatives platform whose name was inspired by Malcolm Gladwell 's “The Tipping Point”, created to harness the power of groups to get things done that normally can’t be accomplished alone. A cause would only receive funding once the pledged donations reached a certain number, the “tipping point”.
Groupon was started as an offshoot of The Point, and applied a comparable “tipping point” concept to deals from local merchants: if enough people pledged to buy product from either a national company or local vendor, a discount would be created. The Point was too abstract and idealistic to market, and it was stripped down to the more popular Groupon concept. Groupon grew, becoming the daily deal powerhouse we know today.
The Power of the Pivot
A key element in Groupon’s success was Mason’s ability to pivot. Mason was successful because he was able to capture a vision other people couldn’t see, and bring that vision to life. He was able to execute his “tipping point” concept because of his ability to pivot on his business model from helping people raise money for special projects, to helping local businesses offer special s to a similar audience. He remained attached to the problem he was trying to solve, raising money and increasing awareness of local business, but not the original