BTEC First in Businesss - Unit 1

Question	Answer
A business which uses its profits or surplus to fulfil soical objectives, such as helping others	Social Enterprise
The way a business is legally owned and operated	Business Format
The owners are personally responsible for all debts, even if this means selling personal possessions	Unlimited Liability
The owners are only responsible for all debts up to the amount they have invested in the business	Limited Liability
Launching a public limited company on the Stock Exchange	Floating
A type of business owned by one person. Characteristics include easy start-up, owners keep all profits, and make all important decisions	Sole Proprieter
A type of business owned by two or more people. A legal agreement between owners is necessary. Advantages included pooled skills, pooled capital and divided responsibilities	Partnership
Many family firms have this format. The name always ends with 'Ltd'	Private Liability Company
The largest type of privately owned enterprise in the UK. The name always ends with 'plc'	Public Liability Company

Resource summary

	Created by Barrie Edmonds almost 10 years ago