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Chapter 18

Forms Of Business

TermDefinition
Sole Trader A person who owns and runs his or her own business.
Private Limited Company Formed when between 1 and 50 people put together money to start a new business with limited liability.
Limited liability Means that if a private limited company goes bankrupt, i.e. has debts they are unable to pay back, the shareholders will only lose the amount they invested in the company.
Co-operatives Organisations formed by people who join together to achieve a particular objective that they could not achieve on their own.
Privatisation The sale of a semi-state company by the government.
Sate Ownership Semi-state companies or state-sponsored bodies who are owned by the state(government).
Created by: jdunnestmarks
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