Joint Venture acts like a general partnership, but it is formed for a limited period of time or a single project. If the partners in a joint ven­ture repeat the activity, they will be recognized as a continuing part­nership and distribute accumulated partnership assets upon dissolution of the entity.

Main Features of a Partnership:

(+) Easy to organize, but needs agreement

(+) Partners receive all income

(-) Partners have unlimited liability

(-) Partners may disagree

(-) Life of business may be limited

Vocabulary partnership

товарищество, партнерство

general partnership

компания с неограниченной от­ветственностью

limited partnership товарищество с ограниченной

to distinguish to set forth legal agreement complementary capital assets чтобы отличить изложить юридическое соглашение, дополняющее основной капитал

retail розничной

to the extent of share incentive withdrawal в той степени, акции стимулирования вывода

limited liability [.lais'biliti] joint venture с ограниченной ответственностью совместное предприятие

to dissolve the partnership dissolution of the entity для того, чтобы расторгнуть партнерство роспуск организации

Assignment. Answer the questions:

What is a partnership?

What are the limited partnership and general partnership?

What are the advantages and disadvantages of partnership?

What is a j oint venture?

CORPORATION

A corporation is chartered by the state in which it has headquar­ters. It is considered by law to be a unique entity, separate and apart from those who own it. A corporation can be taxed; it can be sued; it can enter into contractual agreements. The owners of a corporation are its shareholders. The shareholders elect a board of directors to oversee the major policies and decisions. The corporation has a life of its own and does not dissolve when ownership changes.

TEXT 3.

HOW ТО MOTIVATE YOUR EMPLOYEES?

Successful managers know how to motivate their employees. Al­though everyone is motivated by different needs, most people will tell you that two of the most important things they look for in a company are mutual respect and personal involvement. When workers feel good about themselves, the work they do, and the company they work for, it is much easier to gain their cooperation.

Advantages of a Corporation

Shareholders have limited liability for the corporation's debts or judgments against the corporations.

Generally, shareholders can only be held accountable for their investment in stock of the company. (Note however, that offi­cers can be held personally liable for their actions, such as the failure to withhold and pay employment taxes.)

Corporations can raise additional funds through the sale of stock.

Disadvantages of a Corporation

The process of incorporation requires more time and money than other forms of organization.

Corporations are monitored by federal, state and some local agencies, and as a result may have more paperwork to comply with regulations.

Incorporating may result in higher overall taxes. Dividends paid to shareholders are not deductible form business income, thus this income can be taxed twice.