1. 1 INTRODUCTION TO BUSINESS PROCESSES FOR WEB DEVELOPERS

2. 2

3. 3 The Structure of Organisations What are they? Commercial versus Non- Commercial Legal Considerations

4. 4 Organisations

5. 5 Commercial Organisations Sole Trader Sole Trader –Local Shop, Plumber Partnership Partnership –Doctors, Lawyers, Accountants Limited Company Limited Company –Private or Public

6. 6 Sole Trader Individual Individual –Responsible for all debts –All assets including “private” at risk –Can Register for VAT –Has to register for Inland Revenue/Social Security –Simplified Bookkeeping

7. 7 Partnership Two or More People Two or More People All at Risk All at Risk Normally professionals Normally professionals –Doctors –Lawyers –Accountants Inflexible in Normal Commercial World Inflexible in Normal Commercial World –Movement of key Personnel –Too risky

8. 8 Incorporated Law recognises individuals Law recognises individuals –Responsible for actions (except by youth mental incapacity or registered student) –Enter into contracts –Tried for crimes –Sued –Act of Parliament impose duties on the individual Incorporation Incorporation –Making into a body (Corpus)

9. 9 Organisations Incorporated Incorporated –Royal Charters – IET –Acts of Parliament – Ceredigion County Council –Public or Private Companies (Companies Act 1985 and 1989)

10. 10

11. 11 Companies Public or Private Companies Public or Private Companies –Public – Public Limited Company (PLC) Trades shares to public Trades shares to public Issued Share capital >= £50,000 Issued Share capital >= £50,000 –Private – Company Limited (Co Ltd) Cannot sell shares to Public Cannot sell shares to Public Can sell shares privately Can sell shares privately Limited by Shares Limited by Shares –Commercial Companies Limited by Guarantee Limited by Guarantee –Charities, Professional Bodies (Unlimited Companies) (Unlimited Companies)

12. 12 Companies (Contd) Independent Existence Independent Existence Divided Divided –Shareholders –Or Members of the Company Normally > 1 shareholder Normally > 1 shareholder 1992 Act allows single member 1992 Act allows single member