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WorksheetsSole Traders, Partnerships and Franchises
Total questions: 10
Worksheet time: 5mins
Which is the simplest form of business organization?
sole proprietorship
partnership
franchise
none of the above
A sole trader has one owner but can employ any number of people.
true
false
undecided
Sole traders can be found in ALL the sectors of the economy.
true
false
Examples of sole traders in the primary sector include
farmers and fishermen
builders and manufacturers
web designers and hairdressers
taxi drivers and gardener
Examples of sole trader businesses in the tertiary sector includes
manufacturers and small builders
farmers and fishermen
miners and footballers
hairdressers and teachers
One feature of a limited partnership includes
at least one sleeping partner
every partner is involved in the running of the business.
every partner has unlimited liability
One disadvantage of sole proprietorship includes
owner keeps all the profit
owner has complete control
no legal requirements to set up
personalized services to customers
owners have unlimited liability
Features of partnership deed includes All but the following.
how much capital each partner will contribute
skills of partners spouses
how profits or losses will be shared among the partners
the procedure for ending the partnership
how much control each partner has
Which of the following does a franchisor NOT offer the franchisee?
a license to trade
a start-up package including help, advice and essential equipment
an exclusive geographical area in which to operate
one-off start-up fee
Marketing support
Which of the following does the franchisee NOT offer to the franchisor?
Training in how to run the business
a one-off start-up fee
on-going fee
contribution to marketing costs
profits from branded materials that are sold
