proprietorship


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Proprietorship

An unincorporated business that is owned and operated by only one person who has complete liability for all assets, and complete rights to all profits.

Sole Proprietorship

A business owned by a single person that is not a corporation, a limited liability company, or anything else. The sole proprietor who owns the proprietorship must list all profits and losses on his/her personal tax return and does not file a separate return for the business. Additionally, the proprietor is personally responsible for all losses and debts the business incurs. Some small businesses begin as sole proprietorships and then become something else. Other sole proprietorships are part-time businesses that their owners operate on the side.

proprietorship

A firm with a single owner, chiefly one who acts as the manager of the business. Income, expenses, taxes, liability for debts, and contractual obligations are inseparable with respect to differentiating the owner from the business. Compare corporation, partnership. See also unlimited liability.

proprietorship

Ownership. Those who own their own business in their own personal name, without a corporation or partnership or other such business structure, is said to have a sole proprietorship.

Proprietorship

An unincorporated business owned by one person. The business owner may have employees working for him or her.
References in periodicals archive ?
7 million taxpayers filed nonfarm sole proprietorship returns (Schedule C-EZ), marking a 2.
With the increase in the percentage of the managerial proprietorship, the amount of conservatism in the financial reports reduces.
The members can select how they want the entity to be taxed: as a corporation, partnership, or sole proprietorship.
31, 1996, will generally be taxed like a partnership if there are two or more owners, or as a sole proprietorship if it has only one owner, unless it elects to be taxed as a corporation.
Two of our three models suggest that there was no statistically significant association between MTR changes and proprietorship net income or proprietorship expenses.
In contrast to a proprietorship and a partnership, a corporation is a legal entity separate from its owners, and as such, the liability of an owner is limited to his or her equity investment.
There is no "sole proprietorship veil" or "partnership veil.
This makes a corporation look much more attractive than a sole proprietorship.
If you are serious about making this work, pick your legal business structure (a sole proprietorship is probably the best choice for a home-based business), promote your business at every opportunity, and manage your time wisely so that your home-based business doesn't hurt your productivity at your full-time job.
In effect, the proprietorship also acts as a conduit through which the income of the business is passed through to the business owner where it is subject to tax.
Featuring photocopiable legal, business, and accounting forms, this workbook is designed to help the beginning entrepreneur to set up a sole proprietorship in any state without using an attorney.
The conversion of a sole proprietorship into a limited liability company (LLC) is accomplished by filing for a certificate of formation (or other required document), paying the appropriate fee and executing articles of organization and an operating agreement (if required).