Forms of Business Ownership

A sole trader is owned by...

• A franchisee

• 2 or more people

• One person

• Shareholders

A partnership is owned by...

• A franchisee

• 2 or more people

• One person

• Shareholders

A Private Limited company is owned by...

• A franchisee

• 2 or more people

• One person

• Shareholders

A public limited company is owned by...

• Shareholders

• Two or more owners

• One person

• A franchisee

What does the word 'private' in Private Limited Company refer to?

• The fact that all their finances are private

• The fact that shares can only be sold with the consent of other shareholders

• The fact that nobody knows about their business

True or False: Shares of a Public Limited Company are sold on the stock market

• True

• False

True or false: Shares of a Private Limited Company are sold on the stock market

• True

• False

All decisions are made by one person and that person also keeps all the profit is a feature of which form of business ownership?

• Partnership

• Sole Trader

• Private Limited Company

• Franchise

Decision making can be slow because there are often lots of shareholders is a disadvantage to which form of ownership?

• Franchise

• Public Limited Company

• Sole trader

• Partnership

Which source of finance is available to Limited Companies but is not available to sole traders or partnerships?

• Loans

• Sale of shares

• Money from friends and family