What does it mean if a company has limited liability?
- business seen as a separate entity to owners.
- business can be sued as an organisation.
- shareholders not personally liable for business debts.
- business is registered with Companies House.
How does having an objective help Fine Tune Aerials Ltd?
- gives Fine Tune Aerials Ltd a focus, something to aim at, eg doubling sales revenue in five years
- allows FTA to judge how well it has performed
- ensures that resources are directed to an appropriate use.
Do you think that Fine Tune Aerials Ltd should relocate to a larger city? Use Item A to justify your answer.
Answers for moving may include the following:
possibly less travelling to do, customers closer together
more workers to choose employees from
more likely to be kept up-to-date with developments in the industry.
Answers against moving may include the following:
needs to find base, etc
further commuting distances for managers
could be more competition
need to become established/get known.