Ownership Flashcards
1
Q
What is a sole trader
A
A self employed person who runs their own business
2
Q
What is a pro of being a sole trader?
A
All profits go to you
3
Q
What is a con of being a sole trader?
A
Limited finances
4
Q
What is a partnership?
A
a legal agreement between of two or more entities that determine shared ownership
5
Q
Pro of a partnership
A
Cost saving
6
Q
Con of a partnership
A
shared profits
7
Q
What is the legal documents explaining how the partnership works called
A
A deed of partnership
8
Q
What is a Private Limited Company
A
a legal entity in its own right
9
Q
Pro of a Ltd
A
Limited liability
10
Q
Con of a Ltd
A
Competitors can see legal competitors
11
Q
What is a public limited company
A
shares that are sold to the public on the stock market
12
Q
Pro of PLC
A
Limited liability to shareholders
13
Q
Con of PLC
A
Risk of takeover
