Y8 Business - Different Types of Businesses

Which business structure you choose could depend on e (a)   profit

(lower case)

Unlimited liability

• you have unlimited ability to do anything

• you have full responsibility for somthing that goes wrong

• you have small responsibility for something that goes wrong

• you have no responsibility whatsoever

Correctly label the COST of setting up each business structure

a

b

c

Low

Medium

Medium to high

Match the following definitions

• Company

• A separate legal organisation that can get into debt, sue and be sued

• Partnership

• A business that involves a number of people who carry on a business together

• Sole Trader

• The simplest and most affordable business structure

Correctly label the OWNER of setting up each business structure

a

b

c

You

Shareholders

You and your partners

Which business structure you choose could depend on p (a)   risk

(lowercase)

Examples of a sole trader include

• •Small local businesses

  •Construction companies

  •Large businesses

• •Side hustles

  •Businesses run from home

  •Contractors (tradies)

• •Husband/ wife

  •Family business

  •Legal/ medical/ accounting

  •Startup between mates

Which structure may be best for a couple of friends starting an accounting business?

• Sole Trader

• Partnership

• Company

Correctly label the COMPLEXITY of setting up each business structure

a

b

c

Complex

Moderate

Simple

Which structure may be best for a tradie who is just starting out?

• Sole Trader

• Partnership

• Company