The specific types of equity financing available to you are, to some extent, determined by the organizational form of your small business. While your choice of business form or "entity" for your ... |
A sole proprietorship is a single-owner business and the simplest form of business entity. However, a sole proprietorship is also the most restrictive form of organization for equity financing ... |
A general partnership is an association of two or more parties to operate a business for profit. The partners raise equity funds through their own capital contributions, by adding a new partner, or ... |
A limited partnership is a partnership that requires only one partner to assume personal liability for the business's liabilities (the general partner). There may be more than one general partner. ... |
A corporation is a separate legal entity that can be created only by compliance with state statutes. The business enters into a kind of contract with the state (called a corporate charter) in which ... |
A limited liability company is a relatively new form of business entity that is now permitted in all states. |
Although we discuss the main advantages and disadvantages of different organizational forms, no formula exists for making the determination of which entity is best for your business, and this ... |
Mergers, joint ventures, consolidations, acquisitions, strategic alliances, associations, and other combinations of business entities can also be employed to raise new funds for your business. The ... |
Venture capital ("VC") firms supply funding from private sources for investing in select companies that have a high, rapid growth potential and a need for large amounts of capital. VC firms speculate ... |
The federal government sponsors its own public venture capital organization through the Small Business Investment Corporation (SBIC) program. An SBIC is a privately owned and operated small ... |