Different types of Business

Sole proprietorship

If you start selling a product or service on your own without filing any paperwork with the state,
you are running a sole proprietorship. You’ll likely buy business supplies with your own money,
run your business out of your home, and make all business decisions yourself. There are
countless different businesses that could be run as sole proprietorships:

 An accountant or administrator serving several clients

 A dentist working alone
 A pastry chef making and selling cupcakes to local restaurants
 A neighborhood lawn service

The supplies and products owned by the business are owned by you, and any loans you take out
are owed by you—whether your business makes money or not.
Examples:
 Sari-Sari stores
 Baking business
 Cellphone Loading Business

Partnerships

The basic definition of a partnership is that two or more people own a business together. Each
person in a partnership provides either labor, skills, money, or property to the business.
Partnerships might be formed when similar professionals work together in a group.
Such as:
Lawyers, real estate brokers, or plumbers, or when a small business owner needs someone to
help pay for the costs of running their business in exchange for a return on the investment.
Examples:
 Apple & Mastercard
 Uber & Spotify
 Burger King & McDonald’s
Corporation

Corporations are businesses that are completely separate from their owners, who are called
stockholders or shareholders. They exchange their money for shares of stock in the company.

Examples:
 Ayala Corporation
 San Miguel Corporation
 Globe
 Mercury Drug Corporation
 Banks