What action could any of Rock City's dentists take to limit their exposure to liability as well as make it easier to find capital for expansion?
A)form a silent partnership
B)incorporate
C)obtain a Small Business Administration loan
D)create a limited partnership

Question

Quizplus · Accepted Answer

Incorporating would limit the personal liability of the dentists and make it easier to find capital for expansion as the company would be considered a separate legal entity. Forming a partnership or obtaining a loan would not have the same level of protection for personal liability. Creating a limited partnership may provide some liability protection but can also have limitations on management control and may not be as attractive to potential investors.

What Action Could Any of Rock City's Dentists Take to Limit