Types Of Business Ownership

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  • Types Of Business Ownership
    • Company
      • Private Limited Company (LTD)
        • Advantage
          • Owner Keeps control Of The Business
          • Limited liability for shareholders
          • Can raise more finance
        • Disadvantage
          • Profits shared between more people
          • Harder to raise finance
          • A legal agreement must be setup
      • Public Limited Company (PLC)
        • Disadvantage
          • Conflict of interests between shareholders and board of directors
          • Risk of takeover by shareholders
          • Too much growth results in poor labor regulations
        • Advantage
          • Large amount of capital from share issue
          • Produce goods at a lower unit cost
          • Large PLC's find it easier to borrow from banks
    • Partnerships
      • Advantage
        • Easy Startup
        • Only Taxed Once
        • Diversity of skills
      • Disadvantage
        • Shared Risk
        • Shared Responsibility
        • Unlimited Liability
    • Sole Trader (proprietor)
      • Advantage
        • Easy Info
        • Taxation
        • Easy Dissolution
      • Disadvantage
        • •Unlimited Liability
        • Limited Business Life
        • Limited Resources
    • Franchises
    • Multinational Companies

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