Which form of business ownership is a particularly poor choice for an aggressive entrepreneurial firm?
A) C corporation
B) sole proprietorship
C) subchapter S corporation
D) limited partnership
E) limited liability corporation

Question

Quizplus · Accepted Answer

A sole proprietorship is a poor choice for an aggressive entrepreneurial firm because it offers no liability protection for the owner and makes it difficult to raise capital. The best choice would be a C corporation or a limited liability corporation (LLC) as they offer liability protection and allow for easy access to capital through the sale of stock. A subchapter S corporation and limited partnership may also be viable options depending on the specific needs of the firm.

Which Form of Business Ownership Is a Particularly Poor Choice