Theme 1- Liability and ownership

Question 1

unlimited liability

Answer 1

if debts of business cannot be paid by the business the owners personal assets are at risk

Question 2

unincorporated

Answer 2

business and owners are the same in the eyes of the law (unlimited liability)

Question 3

assets

Answer 3

property such as house or car

Question 4

limited liability

Answer 4

if debts cannot be paid by business the owners personal assets are not at risk

Question 5

incorporated

Answer 5

the business and the owner are separate in the eyes of the law (limited liability)

Question 6

Private limited company

Answer 6

an unincorporated business owned by shareholders

Question 7

Franchise

Answer 7

where one business gives another business permission to trade using its name and products in return for a fee

Question 8

franchisor

Answer 8

an established business that gives permission to an entrepreneur to trade using its name and products

Question 9

franchisee

Answer 9

an established business who pays a fee to trade using its name of an established business

Question 10

royalties

Answer 10

percentage of profit paid to the franchisor by the franchisee

Question 11

footfall

Answer 11

number of people passing a location by a given time

Question 12

bulk gaining product

Answer 12

the end product is bigger than the materials used to buy it

Question 13

bulk reducing product

Answer 13

the end product is smaller than the products used to make it

Question 14

multi-channel

Answer 14

using a number if methods to reach the customers