CH. 1.2 Business Organizations Part B Flashcards
What is a Sole Trader?
A business in which one person provides the permanent finance and, in return, has full control of the business and is able to keep all of the profits
What is a Partnership?
A business formed by two or more people to carry on a business together, with shared capital investment and, usually, shared responsibilities.
What is a Private limited company?
A small to medium-sized business that is owned by shareholders who are often members of the same family’ this company cannot sell shares to the general public.
What is a Public limited company (plc)?
A limited company, often aa large business, with the legal right to sell shares to the general pubblic; its to the general pubic; its share price is quoted on the national stock exchange.
What is a Social enterprise?
A business with mainly social objectives that reinvests most of its profits into benefiting society rather than maximising returns to owners.
