The professional, scientific, and technical services sector reported the largest percentage of total profits of all non-farm sole proprietorships
The number of sole proprietorships
that went out of business in October 2010 went up 65.
Though the requirement to undergo peer review applies only to firms, the CBA does not maintain a listing of CPAs operating as sole proprietorships
Nationwide, the number of sole proprietorships
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).
Zobel writes: "Sole proprietorships
file a Schedule C with their tax return, showing their business income and expenses.
In tax year 2001, there was wide variability in the expenses of sole proprietorships
by business characteristics such as gross receipts, industry category, businesses with inventories, and businesses with home offices.
West Hollywood, for example, exempts all home-based sole proprietorships
with no employees from business taxes, said David Hatcher, revenue manager for the city.
Depending on their firm's purpose or the way they conduct business--including how much liability they are willing to assume or the type of fringe benefits they plan to offer--CPAs can structure their financial planning practices as sole proprietorships
, S corporations, C corporations or limited liability companies.
are on the cash basis, allowing them even greater smoothing flexibility since they may artificially postpone or accelerate revenues and expenses at year end.
5) Small businesses were most commonly organized as sole proprietorships
, which accounted for more than 40 percent of firms; about 30 percent were organized as C corporations, 20 percent as S corporations, and the remainder as partnerships.
Face Lowest Rates, S Corporations Highest