UNIT 1.2 TYPES OF BUSINESS

The owner of a business personally liable for any business debts, to be settled by selling off personal assets

• Unlimited liability

• Social enterprises

• Stock exchange

• Sleeping partner

This is any marketplace where the general public and other companies can buy and/or sell shares.

• Public sector

• Sole trader

• Stock exchange

• Sleeping partner

A joint-stock company owned by shareholders. Its shares are bought/sold by the general public, with approval of owners

• Partnership

• Publicly held company

• Non-governmental organizations (NGOs)

• Privately held company

It occurs when a business sells all/part of its business to shareholders on a public stock exchange for the 1st time

• Initial public offering (IPO)

• Cooperatives

• Incorporation

• Non-governmental organizations (NGOs)

These are for-profit social enterprises owned/run by their employees, managers, customers to create value for them

• Cooperatives

• Partnership

• Deed of Partnership

• Limited partnership

A legal difference between the owners and the business entity itself, protecting owners with limited liability

• sole trader

• Partnership

• incorporation/incorporated

• Limited partnership

A business alliance of 2 to 20 individual owners who are jointly responsible for the business (varies in each country)

• sole trader

• Partnership

• Unlimited Liability

• Public sector

An investor in a partnership but who does not get involved in the daily running and management of the organization.

• sole trader

• sleeping partner

• Limited Liability

• Publicly held

Any business organisation (privately or publicly held) that is owned by its shareholders, who have limited liability,

• cooperative

• social enterprises

• company

• corporation

Businesses that generate revenue and aim at the benefit of the general public rather than the private shareholders

• incorporated

• social enterprises

• privately held

• corporation