Unit 1: Business management

PoB unit 1

LLC

Advantages: Combines personal liability protection with flexible management and taxation options.

Disadvantages: Usually require more paperwork, fees, and ongoing requirements than a sole proprietorship or partnership.

S-Corp

Advantages: Owners receive liability protection while avoiding corporate-level income tax on qualifying profits:

Disadvantages: More rules, paperwork, and ownership restrictions than simpler business structures.

Corporation

Advantages: Lots of resources (Capital/Human) and limited liability.

Disadvantages: Expensive and complicated to start, more government regulations, large teams lead to disagreements and long decision making process.

Sole proprietorship

Advantages: Easy to start, get all the money, full control.

Disadvantages: Unlimited liability, not as much experience, could be risky.

Partnership

Advantages: Combined expertise, easy to start, shared resources.

Disadvantages: Shared profits, disagreements, responsible for each other’s debts.

Co-op

Advantages: Members share control and benefits, giving people who use or work for the business a direct voice.

Disadvantages: Decision-making can be slower because multiple members participate in major decisions.

Forming

First stage, everybody is polite and behave independently. Some anxiety, awkwardness, and excitedness.

Storming

Second Stage, begin to address task, and some may feel discomfort and disagree with the approach. Some might question how worthwhile it is.

Norming

Moving toward harmonious working practices and rules and values are set. Trust is starting to set in, progress is being made, and constructive criticism is important.

Performing

High performance and not all teams will get there. Very collaborative and understand the value of hard work.

Adjourning

Referred as mourning, when team splits up and final feelings are being had.

Step 1

Acknowledge conflict and define the problem

Step 2

Analyze and discuss issue, list the facts, get opinions on the issue

Step 3

Break into groups and brainstorm for potential solutions

Step 4

Solve the problem and come up with solutions

Step 5

Evaluate alternatives and reach consensus

Step 6

Implement the solution and then follow up