Answer to Question #295670 in Management for Ann

Question

There are three (3) basic forms of business organizations. They are sole proprietorship, partnership and corporation. Which do you think is a better form of business organization?

Answer 1

The better form of business organization is the corporation. This is because it enjoys a personal liability protection unlike the sole proprietorship or partnership. it also has easier access to capital. It can raise capital through equity or debt. A corporation is also beneficial in terms of business security and continuity as it is operated as a going concern,.