89.1k views
2 votes
2. How do fund raising for corporate organization differ from non- corporate organization


User Mallorn
by
7.3k points

1 Answer

3 votes

Answer:

see below

Step-by-step explanation:

A corporation is considered a legal person. It is a form of business ownership that is separate from its owners. A Non-corporation business has not gone through the incorporation process. As such, the business and the owner as considered as one entity. A partnership and sole proprietorship are examples of non-corporations.

Raising funds for a corporation is much easier than for a non-corporation. A corporation raises funds through borrowing or by issuing shares to the public or existing shareholders in a private corporation. The money generated from issuing shares can be used to expand the business or meet outstanding debts.

A non-corporation relies on the owner's to fund business activities. If the owners don't have a good credit history, the business may face challenges obtaining loans.

User CharlieH
by
7.9k points

No related questions found

Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.