Types Of Business Organisation

23,658 views

Published on

Types Of Business Organisation

Published in: Business
0 Comments
7 Likes
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total views
23,658
On SlideShare
0
From Embeds
0
Number of Embeds
9
Actions
Shares
0
Downloads
503
Comments
0
Likes
7
Embeds 0
No embeds

No notes for slide

Types Of Business Organisation

  1. 1. Types of Business Organisation BTEC Business
  2. 2. Two Sectors <ul><li>The economy can be divided into two sectors: </li></ul><ul><li>The Private Sector </li></ul><ul><li>The Public Sector </li></ul>
  3. 3. The Private Sector <ul><li>Private individuals and firms that are owned by private individuals </li></ul><ul><li>Firms in the private sector include: </li></ul><ul><ul><li>Sole Traders </li></ul></ul><ul><ul><li>Private Limited Companies (Ltd) </li></ul></ul><ul><ul><li>Partnerships </li></ul></ul><ul><ul><li>Public Limited Companies (PLC) </li></ul></ul>
  4. 4. The Public Sector <ul><li>Made up of central government, local government, and businesses that are owned by government </li></ul><ul><li>In the last twenty years the number of government-owned firms in the UK has shrunk massively </li></ul><ul><li>Now, very few examples remain, for instance, the Royal Mail </li></ul>
  5. 5. Private Sector Firms <ul><li>One of the key differences is between: </li></ul><ul><li>Sole traders and partnerships whose liability is unlimited </li></ul><ul><li>And </li></ul><ul><li>Private Limited and Public Limited Companies, who have ‘limited liability’ </li></ul>
  6. 6. Other Business Types <ul><li>Co-operatives are owned by their staff, who are ‘members’ of the firm </li></ul><ul><li>Profits are shared amongst the members </li></ul><ul><li>Losses too must be shared </li></ul>
  7. 7. Franchises <ul><li>Many businesses today are franchises </li></ul><ul><li>A business idea is licensed to a franchisee </li></ul><ul><li>The owners of the brand receive a license fee </li></ul><ul><li>The franchisee gains the right to use the business brand </li></ul>
  8. 8. Not For Profit Businesses <ul><li>Many charity-based business organisations are run as ‘not for profit’ operations </li></ul><ul><li>They typically receive donations or funds from groups or government </li></ul><ul><li>Any financial surplus is ploughed back into the business </li></ul><ul><li>The organisation does not aim to generate profits </li></ul>

×