Why are corporations seen as being capable of remedying many of the shortcomings found in the sole proprietorship and partnership business forms?

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Corporations are seen as being capable of remedying many of the shortcomings found in the sole proprietorship and partnership business forms because of a corporation's existence as a separate legal entity. This means that the corporation has its own legal identity and can own property, enter into contracts, sue or be sued, and issue stocks to raise capital. Therefore, the owners' liability is limited to their investment in the corporation, and the corporation can continue to operate even if one or more owners leave or pass away. This makes it easier for corporations to raise capital, attract investors or shareholders, and expand their operations.

Why Are Corporations Seen as Being Capable of Remedying Many