Btec Level 3 in Business, Unit 1 the Business Environment

Task 1 Describe the type of lineage, purpose and willpower of 2 contrasting types of melodyes. Sole Trader A fillet of sole dealer is a business owned by 1 person. It does not concur limited liability meaning that if it fails and creates debts the proprietor is in person trustworthy for this. Sole traders ordinarily have to work long hours and learn about all the aspects of business as many start up businesses cannot afford to aim people to take on other tasks. The owner is responsible for everything that goes on in the business and has to do a rush of work. The owner also receives all the profit and is able to yield decisions on their own. The owner has full control over the business. haircloth dressers, small independent shops and book keepers are usually sole traders. Partnership A partnership is a lot like a sole trader only there are much than 1 owner. This usually authority the work and responsibility is shared and so are the profits. Good examples of partnerships are dentists, accountants and lawyers. there is usually more money and ideas that can be put into the business. There may be disagreements between partners and this can affect the panache they run their business.

Depending on what contracts were drawn up, one of the owners may answer to leave and leave debts to the other owner or owners. separately partner has to take the risk of full responsibility for the business. snobby Limited Company A limited company is separate from its owner. This means if the company is sued or creates debts, they cannot take money from the owner. This means that an owner can only lose what they have put into the business and nothing more. A limited company is usually a fairly small business and has up to 50 shareholders. The metre of profit received depends on the amount of shares held. Decisions usually deficiency to be agreed with by all shareholders. It can be hard to keep all shareholders happy. Shares are usually held by other people running the business and friends or... If you want to encounter a full essay, order it on our website: Orderessay

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