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.

 

Related Words

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 method of owning a business in which one person owns the entire business and reports all profits and losses directly on his or her personal income tax return, as contrasted with corporate, . . . View Full Definition

Drawings: Distribution to the owner(s) of a proprietorship or partnership: similar to dividends for a corporation.

Drawings Account: The account used to reflect periodic withdrawals of earnings by the owner (proprietor) or owners (partners) of a proprietorship or partnership.

Conduit Principle: The idea that all income earned by an entity must be passed through to the owners and reported on their individual tax returns: applicable to proprietorships, partnerships, and S corporations.

Self-Employed Income: Taxable income of a person involved in a sole proprietorship or other sort of free-lance work.

Business Opportunity: Any type of business that is for sale (also called business brokerage). The sale or lease of the business and goodwill of an existing business, enterprise or opportunity, including a sale of . . . View Full Definition

Company Doctor: A proprietorship, partnership, corporation, or other form of enterprise that engages in business.

Independent 401(K): The independent 401(k) — also known as a solo 401(k), indy-k, or uni-k — is a variation of the 401(k) designed for people who are self-employed or operate a small business with a partner, sp . . . View Full Definition