preview

The ownership of business Essay

Decent Essays

The ownership of business

Private Business

Sole Trader

This is a person who decides to set up the business on her/his behalf.
There mite be other people who work for the owner but the business to be quite small, if, quite possibly, very profitable. An example is a
Chinese Takeaway or a Fish and chip shop.

Partnership

From 2 -20 people who get together to run a business. They will probably employ other people to work for them. But ownership belongs to the partners. A firm of solicitors ,architects or doctors is a good example. Private Limited Company ( PLC )

These companies may start as family running affairs and develop. The reference to 'limited' means the extent to which owners are liable for the financial …show more content…

At one time there were dozens of examples, but these have dwindled substantially since 1979.

Local government enterprises

These are businesses owned by the local council or corporation. Some of them are heavily subsidized whilst other are designed to make a profit. An example is a sports center or a museum which charge gees for entry

Public corporations

There are not many of these left although the post office is an example which so far retains this status. The corporations are run like a PLC but have no shareholders, the government being a principal recipient of the profit. In the case of the Post office the government sets the amount of profit it wishes to collect each year and this is built into the costs for delivering services. The profit runs into many £ millions. What is over, after the payment of the government's share, is used for development of new services (like setting up shops) or for computerizing things like the payment of pensions and benefits.

Organizations Which fit into either of these categories

Co-operatives

Some of these exist for the benefit of the consumers whilst others
(producer co- operatives) are for the benefit of the workers. The most famous of the latter was the triumph Motorcycle Co-operative which went on producing motorcycles which the original management could not afford to sell.

Voluntary organizations including charities

Regardless of how many money is acquired,

Get Access