A business organization is an individual or group of people that collaborate to achieve certain commercial goals.

Some business organizations are formed to earn income for owners. Other business organizations, called nonprofits, are formed for public purposes. These businesses often raise money and utilize other resources to provide or support public programs. Ecommerce is the process of selling products and services electronically, which can happen via the Internet or mobile phone. With significant increases in technology, ecommerce has revolutionized the way people do business. Ecommerce allows business transactions to flow easily between countries. There are several types of ecommerce activities that transactions fall under. Business to Business, B2B

Business to business, B2B, ecommerce transactions happen between two companies. B2B activity is not new, but the Internet has changed how everything is transacted. An example of B2B is a company that outsources its bookkeeping activities to another company. Another example includes a business that buys its products from a wholesale company. B2B transactions are usually handled with lines of credit and companies often times have long-lasting relationships with one another. The seller has responsibility of determining the buyer's creditworthiness. Business to Consumer, B2C

Business to consumer, B2C, transactions deal with customers purchasing products and services from companies through the Internet. Online shopping has increased significantly in recent years. Many companies take extreme security measures to protect the sensitive financial information of consumers. B2C ecommerce transactions are not strictly bound to retail shopping. Many customers purchase health insurance, auto insurance and similar products online. One reason for the popularity of B2C ecommerce is consumers enjoy the convenience of purchasing products and services online. Consumer to Consumer, C2C, ecommerce activity is more recent, and usually requires a business to play the middleman. Companies like ebay and Amazon have made C2C more popular. The way it works is companies that have products to sell list them through a third-party site. Consumers looking to purchase products visit the site and search the available products. The consumer purchases the product and the seller is responsible for delivering the product. The business that plays the middleman usually requires a transaction fee from either the seller or buyer. Consumer to Business, B2C

Consumer to business, B2C, transactions occur when a company places a job online and businesses bid on the project. For example, a consumer that needs a website designed will place the details of the job on a bidding site along with his budget. Companies with experience in web design will submit bid proposals to the consumer. The consumer chooses a company, submits the agreed upon payment to the business and waits for the delivery of the website. Bidding companies act as the middleman verifying that payment and service are delivered. Mobile Commerce

Mobile commerce deals with business transactions that happen through mobile phones. Many companies now offer mobile applications that customers can download to their phones. The applications are typically a condensed version of the full version of the site. Many retail stores offer mobile software applications to purchase items and have them shipped. Another common mobile commerce transaction is mobile banking. Consumers can check account balances, transfer funds and look at bank activity while mobile. Emergency Response Campus Enforcement & Patrol coordinates response to all emergency situations including fire, accident/illness, crime, hazardous spills/gas leaks, and bomb threats. Any incident should be reported to Campus Enforcement immediately at 4100 or through regional emergency services at 9-911. Note: When utilizing 911, a follow-up call should be made to Campus Enforcement and Patrol. Emergency Repairs Any unusual occurrence, utility malfunction or equipment failure which presents an imminent danger to life or health or has the potential for major damage to property is an emergency and should be reported immediately to the Work Control Centre at 864-7600. Dispatch services are available on a 24-hour basis. Routine Maintenance Includes basic maintenance needs such as doors sticking, plumbing problems, replacing lightbulbs, heating or air-conditioning needs, routine cleaning needs, snow and ice removal, or repairs to classroom furniture or fixtures. These services are provided free of charge and can be obtained by contacting the Work Control Centre at 864-7600 or through campus email at facman@mun.ca. Service/Material Requests Includes requests for materials from our Central Stores or services which are not related to the maintenance of building functions and occupant services. These would include any changes or extensions to existing services to accommodate equipment installations, changes in room function or convenience. Services are typically charged to the requesting department and should be requested on a Service/Material Authorization Form. Forms are available from your departmental general office or can be obtained by contacting the Work Control Centre at 864-7600 or through campus email at facman@mun.ca. Renovations Requests for renovations should be made through Facilities Development & Renewal. This division is responsible for the compilation of an annual funding request for submission to the Senior Executive Committee (SEC). Budget submissions are typically updated and reviewed by SEC mid-winter to facilitate final planning and tendering for the upcoming fiscal period. Where funding will be from departmental sources, requests should be made utilizing the Service/Material Authorization Form and providing the chargeable departmental account number. Forms are available from your departmental general office or can be obtained by contacting the Work Control Centre at 864-7600. For more information, contact Facilities Development & Renewal at 864-8272 or 864-8725. Estimates Estimates will be provided upon request for services, which are paid for by the requesting department, on receipt of a Service/Material Authorization Form. There will be no charge for ballpark estimates as these estimates are based on general standards. Unforeseen complications/problems and/or changes in project scope may affect the accuracy of such estimates. Where detailed estimates are required, the funding department will be charged for the services. Charges will typically run between $100 and $250 based on the scope of the project. Estimates are also available for chargeable work requested through our Building Services Section. There is no charge for these as the scope of the job is typically very minor. Detailed estimates will be honoured for thirty days from submission.

Introduction - Forms Of Business Organization A business can be organized in one of several ways, and the form its owners choose will affect the company's and owners' legal liability and income tax treatment. Here are the most common options and their major defining characteristics. Sole Proprietorship The default option is to be a sole proprietor. With this option there are fewer forms to file than with other business organizations. The business is structured in such a manner that legal documents are not required to determine how profitsharing from business operations will be allocated. This structure is acceptable if you are the business's sole owner and you do not need to distinguish the business from yourself. Being a sole proprietor does not preclude you from using a business name that is different from your own name, however. In a sole proprietorship all profits, losses, assets andliabilities are the direct and sole responsibility of the owner. Also, the sole proprietor will pay self-employment tax on his or her income. Sole proprietorships are not ideal for high-risk businesses because they put your personal assets at risk. If you are taking on significant amounts of debt to start your business, if you've gotten into trouble with personal debt in the past or if your business involves an activity for which you might potentially be sued, then you should choose a legal structure that will better protect your personal assets. Nolo, a company whose educational books make legal information accessible to the average person, gives several examples of risky businesses, including businesses that involve child care, animal care, manufacturing or selling edible goods, repairing items of value, and providing alcohol. These are just a few examples. There are many other activities that can make your business high risk. If the risks in your line of work are not very high, a good business insurance policy can provide protection and peace of mind while allowing you to remain a sole proprietor. One of the biggest advantages of a sole proprietorship is the ease with which business decisions can be made. LLC An LLC is a limited liability company. This business structure protects the owner's personal assets from financial liability and provides some protection against personal liability. There are situations where an LLC owner can still be held personally responsible, such as if he intentionally does something fraudulent, reckless or illegal, or if she fails to adequately separate the activities of the LLC from her personal affairs. This structure is established under state law, so the rules governing LLCs vary depending on where your business is located. According to the IRS, most states do not allow banks, insurance companies or nonprofit organizations to be LLCs. Because an LLC is a state structure, there are no special federal tax forms for LLCs. An LLC must elect to be taxed as an individual, partnership or corporation. You will need to file paperwork with the state if you want to adopt this business structure, and you will need to pay fees that usually range from $100 to $800. In some states, there is an additional annual fee for being an LLC. You will also need to name your LLC and file some simple documents, called articles of organization, with your state. Depending on your state's laws and your business's needs, you may also need to create an LLC operating agreement that spells out each owner's percentage interest in the business, responsibilities and voting power, as well as how profits and losses will be shared and what happens if an owner wants to sell her interest in the business. You may also have to publish a notice in your local newspaper stating that you are forming an LLC. Corporation Like the LLC, the corporate structure distinguishes the business entity from its owner and can reduce liability. However, it is considered more complicated to run a corporation because of tax, accounting, record keeping and paperwork requirements. Unless you want to have shareholders or your potential clients will only do business with a corporation, it may not be logical to establish your business as a corporation from the start - an LLC may be a better choice. The steps for establishing a corporation are very similar to the steps for establishing an LLC. You will need to choose a business name, appoint directors, file articles of incorporation, pay filing fees and follow any other specific state/national requirements. (Find out how becoming a corporation can protect and further your finances. See Should You Incorporate Your Business?) There are two types of corporations: C corporations (C corps) and S corporations (S corps). C corporations are considered separate tax-paying entities. C corps file their own income tax returns, and income earned remains in the corporation until it is paid as a salary or wages to the corporation's officers and employees. Corporate income is often taxed at lower rates than personal income, so you can save money on taxes by leaving money in the corporation. If you're only making enough to get by, however, this won't help you because you'll need to pay almost all of the corporation's earnings to yourself. If the corporation has shareholders, corporate earnings become subject to double taxation in the sense that income earned by the corporation is taxed and dividends distributed to shareholders are also taxed. However, if you are a one-person corporation, you don't have to worry about double taxation. S corporations are pass-through entities, meaning that their income, losses, deductions and credits pass through the company and become the direct responsibility of the company's shareholders. The shareholders report these items on their personal income tax returns, thus S corps avoid the income double taxation that is associated with C corps. All shareholders must sign IRS form 2553 to make the business an S corp for tax purposes. The IRS also requires S corps to meet the following requirements:

Be a domestic corporation Have only allowable shareholders, including individuals, certain trusts and estates Not include partnerships, corporations or non-resident alien shareholders Have no more than 100 shareholders Have one class of stock Not be an ineligible corporation (i.e., certain financial institutions, insurance companies and domestic international sales corporations)

General Partnerships, Limited Partnerships (LP) and Limited Liability Partnerships (LLP) A partnership is a structure appropriate to use if you are not going to be the sole owner of your new business. In a general partnership, all partners are personally liable for business debts, any partner can be held totally responsible for the business and any partner can make decisions that affect the whole business. In a limited partnership, one partner is responsible for decision-making and can be held personally liable for business debts. The other partner merely invests in the business. Although the general structure of limited partnerships can vary, each individual is liable only to the extent of their invested capital. LLPs are most commonly used by professionals such as doctors and lawyers. The LLP structure protects each partner's personal assets and each partner from debts or liability incurred by the other partners. Different states have varying regulations regarding these establishments of which business owners must take note. Partnerships must file information returns with the IRS, but they do not file separate tax returns. For tax purposes, the partnership's profits or losses pass through to its owners, so a partnership's income is taxed at the individual level. LPs and LLPs are also state entities and must file paperwork and pay fees similar to those involved in establishing an LLC. Regardless of the way a business is structured, its owners will have the same overarching goals when it comes to the company's financial management. Advantages of a Sole Proprietorship

A sole proprietor has complete control and decision-making power over the business. Sale or transfer can take place at the discretion of the sole proprietor. No corporate tax payments Minimal legal costs to forming a sole proprietorship Few formal business requirements

Disadvantages of a Sole Proprietorship

The sole proprietor of the business can be held personally liable for the debts and obligations of the business. Additionally, this risk extends to any liabilities incurred as a result of acts committed by employees of the company. All responsibilities and business decisions fall on the shoulders of the sole proprietor. Investors won't usually invest in sole proprietorships.

Note: If the business is conducted under a fictitious name, it's up to the sole proprietor to file all applicable forms under the fictitious name or under doing business as (DBA). This, however, does not mean that the business is a separate entity from a legal standpoint. The sole proprietor remains liable even if he or she is doing business under a fictitious name. Most sole proprietors rely on loans and personal assets to initially finance their business. Some will elect to incorporate once the business has started to grow, while other business owners maintain their sole proprietorship for many years. Business Partnership Advantages Partnerships are relatively easy to establish. With more than one owner, the ability to raise funds may be increased, both because two or more partners may be able to contribute more funds and because their borrowing capacity may be greater. Prospective employees may be attracted to the business if given the incentive to become a partner. A partnership may benefit from the combination of complementary skills of two or more people. There is a wider pool of knowledge, skills and contacts. Partnerships can be cost-effective as each partner specializes in certain aspects of their business. Partnerships provide moral support and will allow for more creative brainstorming. Business Partnership Disadvantages Business partners are jointly and individually liable for the actions of the other partners. Profits must be shared with others. You have to decide on how you value each others time and skills. What happens if one partner can put in less time due to personal circumstances? Since decisions are shared, disagreements can occur. A partnership is for the long term, and expectations and situations can change, which can lead to dramatic and traumatic split ups. The partnership may have a limited life; it may end upon the withdrawal or death of a partner. A partnership usually has limitations that keep it from becoming a large business. You have to consult your partner and negotiate more as you cannot make decisions by yourself. You therefore need to be more flexible.

 A major disadvantage of a partnership is unlimited liability. General partners are liable without limit for all debts contracted and errors made by the partnership. For example, if you own only 1 percent of the partnership and the business fails, you will be called upon to pay 1 percent of the bills and the other partners will be assessed their 99 percent. However, if your partners cannot pay, you may be called upon to pay all the debts even if you must sell off all your possessions to do so. This makes partnerships too risky for most situations. The answer would be a different business structure. Advantages of a Corporation The shareholders have limited responsibility with regard to the debts or trials against the corporation. Generally, shareholders are liable only for investment in shares in the company. (However, it is important to mention that managers could be subject to responsibility for their actions, such as not to retain and pay the taxes on their employees). Corporations can obtain more capital through the sale of their actions. A corporation can deduct the cost of benefits (benefits package) that offers to its managers and employees. If you meet certain requirements, you can opt for declared as a corporation S. This selection allows that the company is subject to a payment of taxes similar to that of a society. Disadvantages of a Corporation

The process of integration requires more time and money to compare to other models of organization. The corporations are supervised and subject to rules of entities: federal, state and some local, and therefore might have to comply with many more requirements and administrative documents to demonstrate compliance. The incorporation of a company could result in the payment of more taxes. The dividends paid to shareholders are not deductible as a corporate spending; therefore, that income may be subject to a double taxation. Disadvantages of Cooperative Society 1. Easy to form:

The formation of a cooperative society is very simple as compared to the formation of any other form of business organizations. Any ten adults can join together and form a cooperative society. The procedure involves in the registration of a cooperative society is very simple and easy. No legal formalities are required for the formation of cooperative society. 2. No obstruction for membership: Unless and otherwise specifically debarred, the membership of cooperative society is open to everybody. Nobody is obstructed to join on the basis of religion, caste, creed, sex and colour etc. A person can become a member of a society at any time he likes and can leave the society when he does not like to continue as ; member. 3. Limited liability: In most cases, the liabilities of the members of the society is limited to the extent of capital contributed by them. Hence, they are relieved from the fear of attachment of their private property, in case of the society suffers financial losses. 4. Service motive: In Cooperative society members are provided with better good and services at reasonable prices. The society also provides financial help to its members < the concessional rates. It assists in setting up production units and marketing of produces c small business houses so also small farmers for their agricultural products. 5. Democratic management: The cooperative society is managed by the elected members from and among themselves. Every member has equal rights through its single vote but can take active part in' the formulation of the policies of the society. Thus all member are equally important for the society. 6. Stability and continuity: A cooperative society cannot be dissolved by the death insolvency, lunacy, permanent incapability of the members. Therefore, it has stable life are continues to exist for a longer period. It has got separate legal existence. New members m< join and old members may quit the society but society continues to function unless are otherwise all members unanimously decided to close the same. 7. Economic operations: The operation carried on by the cooperative society economical due to the eliminations of middlemen. The services of middlemen are provided by the members of the society with the minimum cost. In the case of cooperative society, the recurring and non-recurring expenses are very less. Further, the economies of scale-ma production or purchase, automatically reduces the procurement price of the goods, thereby minimises the selling price. 8. Surplus shared by the members: The society sells goods to its members on a nominal profit. In some cases, the society sells goods to outsiders. This profit is utilised for meeting the day-to-day administration cost of the society. The procedure for distribution of profit that some portion of the surplus is spent for the welfare of the members, some portion kept reserve whereas the balance shared among the members as dividend on the basis of this purchases. 9. State patronage: Government provides special assistance to the societies to enable them to achieve their objectives successfully. Therefore, the societies are given financial lo< at lower rates. Government also extends many type of subsidies to cooperative societies strengthening their financial stability and sustainable growth in future.

Disadvantages of Cooperative Society: Despite many an advantages, the cooperative society suffer from certain limitations c drawbacks. Some of these limitations, which a cooperative form of business has are as follows:

1. Limited resources: Cooperative societies financial strength depend on the cap contributed by its members and loan raising capacity from state cooperative banks. The membership fee is limited for which they are unable to raise large amount of resources as their members belong to the lower and middle class. Thus, cooperative^ are not suitable for the large scale business which require huge capital. 2. Inefficient management: A cooperative society is managed by the members only. They do not possess any managerial and special skills. This is considered as major drawback of this sector. Inefficiency of management may not bring success to the societies. 3. Lack of secrecy: The cooperative society does not maintain any secrecy in business because the affairs of the society are openly discussed in the meetings. But secrecy is very important for the success of a business organization. This paved the way for competitors to compete in more better manner. 4. Cash trading: The cooperative societies sell their products to outsiders only in cash. But, they are usually from the poor sections. These persons require to avail credit facilities which is not possible in the case of cooperatives. Hence, marketing is a shortcoming for the cooperatives. 5. Excessive Government interference: Government put their nominee in the Board of management of cooperative society. They influence the decision of the Board which may or may not be favorable for the interest of the society. Excessive state regulation, interference with the flexibility of its operation affects adversely the efficiency of the management of the society. 6. Absence of motivation: The members may not feel enthusiastic because the law governing the cooperatives put some restriction on the rate of return. Absence of relationship between work and reward discourage the members to put their maximum effort in the society. 7. Disputes and differences: The management of the society constitutes the various types of personnel from different social, economical and academic background. Many a times they strongly differs from each other on many important issues. This becomes detrimental to the interest of the society. The different opinions and disputes may paralyses the effectiveness of the management. 7 Cooperative Principles Cooperatives around the world generally operate according to the same core principles and values, adopted by the International Co-operative Alliance in 1995. Cooperatives trace the roots of these principles to the first modern cooperative founded in Rockdale, England in 1844. 1. Voluntary and Open Membership Cooperatives are voluntary organizations, open to all people able to use its services and willing to accept the responsibilities of membership, without gender, social, racial, political or religious discrimination. 2. Democratic Member Control Cooperatives are democratic organizations controlled by their membersthose who buy the goods or use the services of the cooperativewho actively participate in setting policies and making decisions. 3. Members' Economic Participation Members contribute equally to, and democratically control, the capital of the cooperative. This benefits members in proportion to the business they conduct with the cooperative rather than on the capital invested. 4. Autonomy and Independence Cooperatives are autonomous, self-help organizations controlled by their members. If the co-op enters into agreements with other organizations or raises capital from external sources, it is done so based on terms that ensure democratic control by the members and maintains the cooperatives autonomy. 5. Education, Training and Information Cooperatives provide education and training for members, elected representatives, managers and employees so they can contribute effectively to the development of their cooperative. Members also inform the general public about the nature and benefits of cooperatives. 6. Cooperation among Cooperatives Cooperatives serve their members most effectively and strengthen the cooperative movement by working together through local, national, regional and international structures. 7. Concern for Community While focusing on member needs, cooperatives work for the sustainable development of communities through policies and programs accepted by the members. Sole proprietorship: A sole proprietorship is a business owned by one person. The owner may operate on his or her own or may employ0020others. The owner of the business has unlimited liability of the debts incurred by the business. Partnership: A form of business owned by two or more people. In most forms of partnerships, each partner has unlimited liability of the debts incurred by the business. There are three typical classifications of partnerships: general partnerships, limited partnerships, and limited liability partnerships. Corporation: A limited liability entity that has a separate legal personality from its members. Corporations can be either privately-owned or

government-owned, and can be organized as either for-profit or not-for-profit. A privately-owned, for-profit corporation is owned by multiple shareholders and is overseen by a board of directors, which hires the business's managerial staff. Cooperative: Often referred to as a "co-op", a cooperative is a limited liability entity that can organize for-profit or not-for-profit. A for-profit cooperative differs from a for-profit corporation in that it has members, as opposed to shareholders, who share decision-making authority. Cooperatives are typically classified as either consumer cooperatives or worker cooperatives. Cooperatives are fundamental to the ideology of economic democracy. 3 years ago