Question

Which type of business is best for Juanita to start? A corporation, because she needs a large investment to get started a sole proprietorship, because she will work alone from home a franchise, because many others will want to start the same business a cooperative, so that she and other translators can work together

Answer 1

Type of business for Juanita

The type of business best for Juanita to start as a sole proprietorship. This type of business is to purchase or rent the required equipment for the business. For becoming a sole proprietorship it also needs to set up some statements registering that Juanita is starting a business.

She also requires to obtain a consent or license from the local government regarding the business she is willing to start. There are many advantages Juanita would have when starting her own set up which may include being her own boss, retention on the company's entire profit and no special taxes to be paid.

Answer 2

The correct answer is B. A sole proprietorship, because she will work alone from home.

Sole proprietorship is the simplest business one can start to operate. The person who owns the business is the same person who is responsible for the debts.

A good example of a sole proprietorship is local grocery, art studio or services of IT consultation.

Some of the advantages of a sole proprietorship is that, the owner is the one who enjoys the profits of the business, and its control.

Its disadvantage is the owner is liable for all the liabilities and losses.