Other Types of Business Owners

While C-corporations are the most common type of corporate ownership, there are other forms that you should be aware of. Read this section to learn about S-corporation, Limited Liability Companies, cooperatives, and non-profit organizations. Completing the exercise at the end of the section will give you a table to use as you prepare for the final exam.

EXERCISE

(AACSB) Analysis

Create a table comparing a regular corporation, an S-corporation, and a limited-liability company on these dimensions: limited-liability protection, double taxation, restrictions on number of stockholders or members, rules, and restrictions. If you and several of your friends owned an ice skating rink, which form of ownership would you select? Why? Which form of ownership would you select for Google?