Business IGCSE Definitions to Learn S1Ch04

____________ is a business owned by one person.

____________ is a form of business in which two or more people agree to jointly own a business.

_____________ means that the owners of a business can be held responsible for the debts of the business they own. Their liability is not limited to the investment they made in the business.

____________ is the written and legal agreement between business partners. It is not essential for partners to have such an agreement but it is always recommended.

____________ is one that does not have a separate legal identity. Sole traders and partnerships are unincorporated businesses.

_____________ are companies that have separate legal status from their owners.

_______________ are the owners of a limited company. They buy shares that represent part-ownership of the company.

___________ are businesses owned by shareholders but they cannot sell shares to the public.

___________________ are businesses owned by shareholders but they can sell shares to the public and their shares are tradeable on the Stock Exchange.

___________ is a legal requirement for all companies. Shareholders may attend and vote on who they want to be on the Board of Directors for the coming year.