Juan is starting a software writing company.He is the owner and has only 3 employees.He wants a simple inexpensive form of ownership that leaves him in control and that he can quickly dissolve if he decides to change to another business.His best choice of form of ownership would be:
A)S-corporation.
B)partnership.
C)corporation.
D)sole proprietorship.

Question

Quizplus · Accepted Answer

A sole proprietorship would be the best option for Juan as it is a simple and inexpensive form of ownership. He would have complete control and could easily dissolve the business if he decided to change to another venture. As there are only three employees, a partnership or corporation may be too complex and costly to set up and maintain. An S-corporation also may not be the best choice as it involves more paperwork and formalities.

Juan Is Starting a Software Writing Company