Learning outcomes AllCan define a Private and Public limited company MostCan analyse the advantages and disadvantages SomeCan relate to a real life example.

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Presentation transcript:

Learning outcomes AllCan define a Private and Public limited company MostCan analyse the advantages and disadvantages SomeCan relate to a real life example

What is a sole trader? What is a partnership? What is unlimited liability? What is limited liability?

 A business that offers investors a share in the business  Shares can only be sold to family and friends  Has Ltd after the name Examples: Virgin, Toy Manufacturers, Family firms

ADVDIS Reputation Attracts private investors More capital Owners remain directors Limited liability Cannot be listed on the stock exchange No share prices so shareholders are unaware of their worth Legal requirements for registration

 A company able to sell shares to the general public by being listed on the stock exchange  Has PLC after the name

ADVDIS Limited liability Can raise lots of capital Unlimited number of shareholders Complicated/time consuming legal formalities Conflict between shareholders and directors Have to pay dividends Loss of control

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