ITEM SOLE
PROPRIETORSHIP
A sole proprietorship is a
business owned by a single
individual. This sole owner
Number of is responsible for the entire
possible business and is the sole
owners recipient of the business's
earnings.  profits among themselves.. Each
As the sole proprietor, the
business owner makes all
business decisions. The
owner controls and
manages the proprietorship
while creating and
implementing changes. The
sole proprietor may have
Management several employees, but it is
(who manages common for the sole
the business) proprietor to be the
business's only employee.
PARTNERSHIP
A partnership is a for-profit
business association of two or
more persons who bind
themselves to contribute money
or industry to a common fund,
with the intention of dividing the
partner shares directly in the
organization's profits and shares
control of the business operation.
All partners in a general
partnership are considered co-
owners. By default, partners also
have equal rights to manage the
partnership. both a capital
partner and a labor partner have
equal rights to manage the
partnership, even if the labor
partner is much more qualified to
manage the business. Similarly,
all partners have the authority to
bind a partnership by transacting
partnership business.
CORPORATION
Shareholders of 5 or more
persons are the ultimate
owners of a corporation.
They have the right to elect
directors, vote on major
corporate actions and share
in the profits of the
corporation.
A corporation is managed by
its board of directors, not
fewer than three, each of
whom must be a stockholder.
They are elected by the
stockholders and their terms,
etc., are prescribed in the
articles of
incorporation. which must
approve major business
decisions. A director can be,
but is not required to be,
either a shareholder or an
officer. Just as
representatives in Congress
are elected by voters,
directors are elected by the
shareholders and typically
serve for a limited term.
COOPERATIVE
Cooperative corporations,
like other corporations, are
owned by those who
contribute equity to the
firm. Yet an individual’s
investment in a
cooperative - equity
contribution - is tied
directly to his or her use of
the cooperative.
The highest body of
cooperative is the
Assembly, consisting of all
cooperative members.
Each has one vote and
decisions are made
democratically, usually by
majority of votes.
Cooperative management
should be regarded as a
team consisting of four
elements — members
(owners), board of
directors (elected), the
manager (hired), and other
responsible employees
(paid). Each part of the
team has its own
distinctive duties and
responsibilities for
performing management
functions in a cooperative.
 Starting and operating a
small business can provide
a steady stream of income,
but many small business
owners end up closing or
selling their businesses. A
Termination of sole proprietorship is a
business that has a single
the business
owner who is personally
liable for the business'
debts. Owners of sole
proprietorships have
complete control over their
companies, giving them the
freedom to terminate their
businesses at any time and
for any reason.
A sole proprietorship is the
most simple form of
business and the easiest to
Government register, through the Bureau
agency of Trade Regulation and
assigned Consumer Protection
primarily to (BTRCP) of the Department
regulate of Trade and Industry (DTI)
The sole proprietor can
transfer her business by
selling its tangible and
intangible assets; thereby,
transferring the
A partnership entered into far an
indefinite period may be
dissolved. at any time by any
partner giving notice to the other
partner/s, or by the death or
bankruptcy of any
partner.  A partnership terminate
s when either: No part of any
business, financial operation, or
venture continues to be
conducted by any of its partners
in a partnership, or. Within a 12-
month period there is a sale or
exchange of 50% or more of the
total interest
in partnership capital and profits.
It is registered with PEZA
(Philippine Economic Zone
Authority) and the Securities and
Exchange Commission (SEC).
The agency of the Government of
the Philippines responsible for
regulating the securities industry
in the Philippines. In addition to
its regulatory functions, the SEC
also maintains the
country's company register.
The transfer of a partner’s
economic interest in a
partnership is determined by the
partnership agreement, or by
statute if there is no partnership
A company may wish to
terminate its existence for
any number of reasons.  fifty (50) years from the
Typically, the owners of the
company just want to stop
doing business under that
entity. Occasionally, the
duration period stated in the
formation documents expires
or an event of termination
stated in the formation
documents occurs.  In
addition, termination may be
required by law or by a court.
Securities and Exchange
Commission (SEC) –  This is
the government agency
responsible for the
registration and supervision
of all corporations and
partnerships organized in the
Philippines. Licensing of
representative offices and
branch offices is likewise
under this agency.
Ownership in a corporation is
transferred by sale of stock.
A change in ownership does
not affect the existence of the
corporate entity. Technically,
A cooperative shall exist
for a period not exceeding
date of registration unless
sooner dissolve or unless
said period is
extended. The death,
insanity, insolvency or
dissolution of a member
shall be considered an
automatic termination of
membership.
The Cooperative
Development Authority
(CDA) is the sole
government agency
mandated to register all
types of cooperatives to
promote the viability and
growth of Philippine
cooperatives.
Transferring a cooperative
to an adult child, relative,
or friend requires having
cooperative shares
reissued with all of the co-
 responsibility of running the
business to a new owner.
The transfer of a sole
Transfer of proprietorship is completed
ownership by closing the sale. In the
sales agreement, the seller
may wish to instruct the new
business owner to apply for
the necessary licenses in
his own name.
The prior proprietorship is
terminated and a new
proprietorship is established
under the new owner.
The biggest downside to
operating a business as a
sole proprietor is the liability
you are subject to. If your
business incurs debts that it
cannot pay from the profits,
you are personally liable
and responsible for
Liability of payment. If you have
owners personal debts that are
unpaid, a creditor may go
after your business profits or
assets to satisfy the debt.
Along with liability for debts,
as a sole proprietor you also
have personal liability for
any torts, or injuries, that
occur as a result of any acts
of your business.
agreement. If a partner attempts
to transfer his or her interest in
the partnership without such an
agreement, the transferee does
not become a partner but instead
becomes entitled to receive the
profits which the transferring
partner otherwise would receive. 
Every partner in the firm is liable
jointly with the other partners for
all debts and obligations of the
firm incurred while he is a
partner, provided that they relate
to matters for which the partner,
through the acts of whom the
liability or debts have arisen, is
authorized to act for the firm as
aforesaid.. Every partner involved
in the business is personally
responsible for the actions of
other partners and all business
debts. If a business debt cannot
be paid out of partnership assets,
creditors can sue any of the
partners personally to collect the
debt.
shares of stock in a
corporation are freely
transferable. As a practical
matter, however, the market
may be limited for shares of
stock in a small corporation
that is not publicly traded.
The corporation transacts
business under its own
name, and shareholders are
not personally liable for the
actions of other shareholders
or for business debts. A
business creditor is restricted
to collecting a debt out of
assets the corporation owns
and cannot reach into the
personal assets of individual
shareholders. A
shareholder's financial
liability only extends to the
amount of money he has
invested in the company.
owners’ names on the
shares.No matter what
alternative is used, you
must request permission of
the cooperative board to
transfer ownership. 
A worker cooperative may
find an LLC advantageous
because it limits
the liability of its members.
Member's personal liability
for the obligations of the
company is limited to their
investment in the
company. If the business
incurs a debt the debt is
the company's and not that
of the owners.
Submitted by:

Leilalyn Nicolas
Gr. 11-St.Matthew