So You Want to be a Business Owner

It’s a great time to be a business owner. No, really. With the expansion of the internet, including more and more in the homes of the needy, all you need is a company name, a product or a service, and some smart marketing pitches. It’s obviously not as simple as that, of course, but it’s a good start.

There are many reasons why anyone would want to launch their own business venture. The autonomy is number one for most people, the pride in doing your own thing is two, and being your own boss and establishing your own work hours is three.

There are several types of business structures you can launch, which I’ll list here:

Corporations are owned by shareholders. You actually get the opportunity to buy portions of one through stock ownership.

LLC stands for limited liability company. This business type functions like a corporation but has the benefits of a sole proprietorship and partnership when it comes to tax purposes. Bottom line is owers are limited in their responsibilities to pay back debts and liabilities.

Sole Proprietorships are owned by an individual. Best part is you become your own boss. The challenging part is you’re responsible for everything that happens to the business, which can extend back to your personal assets as well.

Partnerships are a shared responsibility among two or more individuals. Best part about a partnership is you share the headaches of running your own business, but any liabilities or defaults fall back on all partners and their personal assets as well.

Nonprofits are agencies set up to fulfill the needs of the public and rely on the donations of private citizens and businesses, and government funding. There are many tax benefits to nonprofits, but they can be tricky when navigating tax laws. Plus, the success of a nonprofit depends solely on how much funding you can raise in any given year.

Foundations are set up to provide grants to nonprofits, institutions or individuals for charitable purposes. Basically, you raise money through a foundation to fund the operation of others whose purpose it is to help the needy or expand research and development of a certain interest, such as the sciences, arts, education or religion.