Final answer:
Option (B), Berkeley has several business structures to consider for her new retail business. Choices include sole proprietorship, partnership, LLC, and corporation, each with specific advantages and potential drawbacks.
Step-by-step explanation:
When deciding on a business structure for her new retail business, Berkeley has multiple options to choose from, each with its unique advantages and disadvantages. As an entrepreneur, Berkeley should consider a structure that provides her with the flexibility and autonomy she needs to operate effectively while also considering potential risks and financial obligations.
Sole proprietorship might be a good choice if Berkeley wants to have full control of her business, with the ease of setting up and operating the business. However, she should be aware that this structure does not offer any personal asset protection if the business incurs debt or is sued. Partnerships can be beneficial if she plans to work with others and share the responsibility and profits. A limited liability company (LLC) or corporation could be advantageous if she is looking to protect her personal assets from business liabilities and potentially attract investors. An LLC, for instance, offers the liability protection of a corporation with the tax benefits of a sole proprietorship or partnership.
As an entrepreneur willing to take risks, Berkeley's choice should align with her business goals, financial capacities, and willingness to deal with administrative complexities. Consulting with a lawyer or a business advisor could provide valuable insights specific to her business needs and the legal environment of her locality.