Different Ways a Business Can Own Real Estate

Question 1

Can businesses purchase, hold, and sell property like a private individual?

Answer 1

Yes

Question 2

Define sole proprietorship

Answer 2

One person owns the whole business and reports all the profits and losses on his or her personal income tax return

Question 3

Define partnership

Answer 3

2 or more people become associated to carry on a business for profit

Question 4

Define joint venture

Answer 4

Partnerships for a single undertaking rather than a continuing business

Question 5

Define corporation

Answer 5

A separate legal entity established under state law by filing articles of incorporation with the Secretary of State. If just a few people hold all the stock in a corporation so they can actively control the business, the corporation is said to be closely held

Question 6

Define a Limited Liability Company (LLC)

Answer 6

Provide the limited liability protection of corporations w/o the regulations associated with corporations

Question 7

Define syndicate

Answer 7

A descriptive term for a group of 2 or more people who combine their financial resources to achieve certain investment objectives