Business Studies Grade 12 Forms Of Ownership Essay

Stock Market and Managerial Ownership

Journal of Applied Corporate Finance F A L L 2 0 00 The Rise in Managerial Stock Ownership by Clifford G. Holderness, Boston College, Randall S. Kroszner, University of Chicago, and Dennis P. Sheehan, Pennsylvania State University V O L U M E 13 . 3 THE RISE IN MANAGERIAL STOCK OWNERSHIP by Clifford G. Holderness, Boston College, Randall S. Kroszner, University of Chicago, and Dennis P. Sheenan, Pennsylvania State University* uch of the vast research on corporate control over the past 30

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The Types of Business Ownership Essay examples

840 Words4 Pages

The Types of Business Ownership

This report is about the advantages and disadvantages

of different types of

business ownerships.

Introduction

I am going to write about the advantages and disadvantages of different business ownerships including:

* Sole Trader

* Partnership

* Franchise

I will include the definitions of some of the business ownerships.

Main Body

SOLE TRADER

Sole trader, as the name suggests, is where an individual is the sole owner of a business. The business is often quite small in terms of size (as measured, for example, by sales generated, or number of staff employed) however the number of these businesses is very large indeed.…show more content…

However, as the expansion of the business depends on the amount of capital you are personally able to inject, you may find as a sole trader that investing in the growth of the business very difficult, as capital is often not easy to find.

DISADVANTAGES

* As a result of the inability to assist expansion, your competitors would have the edge over your sole trader business; for example, businesses with greater access to investment would be able to adapt more quickly to market demands leaving you struggling to compete.

* The pressure put upon the sole trader must not be ignored, and if you are thinking of becoming self-employed as a sole trader you must address this issue as it could ultimately threaten the survival of your business.

* Apart from the pressures placed on the sole trader by the larger organisations, you are also fully liable financially, and the need for your business to examine the implications and consequences of bankruptcy or loss of personal possessions due to the individual accepting unlimited liability must also be considered. The larger your business becomes the great risk will be undertaking in operating as a sole trader.

PARTNERSHPS

A partnership is a relationship existing between two or more persons who join together to carry on a trade or business. Each partner contributes money, property, labour, or skill to the partnership and in

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