Research Paper on:
Business of Financial Planning

Unformatted Sample Text from the Research Paper:
owned by one single person. This does not have to be formed as a legal entity, which saves expense and paperwork. This is the easiest. The owner gets all the  profits but the owner is also fully liable for any and all debts and liabilities the business or any employee incur (Strench, nd). * Corporation: A legal entity, duly filed  with all the legal requirements of same. There are two types of corporations: "C" and "S." They are identical except for their tax status, the C and S are internal  revenue categories. The financial professional will a C corporation will have income taxed at corporate level and then taxed again when distribute to shareholders. The S corporation is taxed  as a partnership where income flows through to shareholders with no tax at the corporation level. Any company with more than 75 shareholders must file as a C corporation (Strench,  nd). * Limited liability company (LLC) is a type of business entity form with some of the same characteristics as a corporation and others that are like a  partnership. This company has "members" instead of shareholders. Members are not liable for the debts and obligations of the LLC (Strench, nd). * Partnership: General and Limited. General is when  two or more people decided to go into business together. Some states require legal documents, others do not. Each partner has the same privileges for hiring, borrowing, spending, and so  on. Each partner is responsible for liabilities. Limited is when two or more people go into business as a legal entity and partners are not legally responsible personally for  partnership debts. Authority and privilege is limited to certain partners. There must be at least one general partner who has the authority to bind the partnership to obligations. Both are