Mar 26, 2025

Entrepreneurship & Business Formation

• The process of creating and managing a business venture to make profit. Turning innovative ideas into reality and taking risks to launch a business, the overall structure of a business impacts ownership, liability, taxes, and operations.

How do I remember it?

• Think of business formation like a "legal backbone." It defines who owns the business, who is responsible for debts, and how profits will be shared. It ensures a business operates legally and effectively.

Real world example

• For example, a company like apple started as small entrepreneurial ventures, and their business formation decisions over time shaped it into what it is today.