Different Types Of Business To Consider
Starting up your own business is always going to be a big challenge and there is a lot to think about before you begin. Building and nurturing a successful business is like raising your own child, and there will be times you are proud, excited, exhausted, and stressed.
But before we get into the nitty gritty of business ownership it is worth talking about the types of business you could begin. The main misconception we have is that there is one type of business and this is all there is, but there are many different options for a lucrative income.
You could choose to franchise a place such as a restaurant like this: https://www.chucksroadhouse.com/franchising/. You could start an online e-commerce store where you sell dropshipped items. You can even start a business as a family partnership. Today we want to run through some of the types of business you could consider this year.
- Sole Proprietorship – this is the simplest type of business and involves a single person building and owning a company. This is what most entrepreneurs will do when they build a startup.
- Partnership – a partnership is where you will go into business with a family member or a friend and share the responsibility of running the business as well as the profits.
- Limited Partnership – this type of business is common and involves a business that is built by a partnership between an entrepreneur and an investor
- Corporation – a corporation is a business that is fully independent. It often has a lot of shareholders and it is a complex structure. Think about companies such as Apple as an example of this.
- Limited Liability Company (LLC) – an LLC is a mashup of two different types of businesses. It takes elements from a partnership business and a corporation and melds them together into an option that is a lot easier to explore. This is a common type of business for startups and it is much easier to manage.
- Nonprofit Organization– If you have a passionate nature and you want to help the world even without a profit, this type of business is great for you. Charities and foundations fall into this category and these types of businesses can make a real difference.
- Cooperative (Co-op) – a Co-op is a type of business that is run with the sole purpose of benefiting its members who use its services.
- Franchise – a franchise is a type of business where you are able to buy a location of a big brand and run this location independently. For example subway is a franchise business and has locations all over the world.
Running a business can be an amazing thing and a great opportunity for you to grow and thrive. Consider the type of business you want to get into before you go ahead and dive in because it may change the dynamic of your venture and what you can do with it.