various forms of business organisation such as prartnership, sole propreitorship,company etc.....

1. POWERPOINT PRESENTATION ON
FORMS OF BUSINESS
ORGANISATION
BY :- SWEETHEART

3. Forms of business
organization refers to the
types of organisations
which differ in terms of
ownership and
management.
Initial costs
Liability
Continuity
Capital considerations
Managerial ability
Degree of control
Nature of business
Factors into consideration
while choosing form of
organization :-

4. Forms of
Business
Organisation
Partnership
Joint
Hindu
Family
Cooperative
society
Company
Sole
proprietorship

5. SOLE
PROPRIETORSHIP
It refers to a form of
organization where
business is owned,
managed and
controlled by a single
individual who bears
all the risks and
include quick decision
making.

7.  Quick decision making
Confidentiality of
information
Direct incentive
Sense of accomplishment
Ease of formation and
closure
ADVANTAGES
DISADVANTAGES
Limited resources
Limited life of a business
concern
Unlimited liability
Limited managerial ability

8. JOINT HINDU
FAMILY
BUSINESS
It is a business owned
and carried on by the
members of a Hindu
Undivided
family,which is
governed by the Hindu
law.

10. ADVANTAGES
Effective control
Continued business existence
Limited liability of members
Increased loyalty and
cooperation
DISADVANTAGES
Limited resources
Unlimited liability ofkarta
Domianace of karta
Limited managerial skills

11. PARTNERSHIP
It is defined as an association
of two or more persons who
agree to carry on a business
together and share the
profits as well as bear risks
collectively.

13. ADVANTAGES
1.Ease of formation
and closure
2. Balanced
decision making
3. More funds
4. Sharing of risks
5. Secrecy
•DISADVANTAGES
UNLIMITED LIABILITY
LIMITED RESOURCES
POSSIBLITY OF CONFLICTS
LACK OF CONTINUITY
LACK OF PUBLIC CONFIDENCE

14. COOPERATIVE SOCIETY
It is a voluntary association of
persons who get together to
protect their economic interests.

16. ADVANTAGES
o Equality in voting status
o Limited liability
o Stable existence
o Economy in operation
o Support from government
o Ease of formation
DISADVANTAGES
 Limited
resources
 Inefficiency in
management
 Lack of secrecy
 Difference of
opinion

17. COMPANY
It maybe defined as an artificial person ,
existing only in the eyes of law with
perpetual succession, having a separate
legal identity and a common seal.

19. ADVANTAGES :-
Limited liability
Transfer of interest
Perpetual existence
Scope for expansion
Professional management
LIMITATIONS :-
Lack of secrecy
Complexity in formation
Impersonal work environment
Numerous regulations
Delay in decision making
Oligarchic management

20. Basis Public company Private company
Members Minimum – 7
Maximum- unlimited
Minimum – 2
Maximum - 50
Minimum number of directors Three Two
Minimum paid up capital Rs . 5 lakhs Rs . 1 lakh
Index of numbers Compulsary Not compulsary
Transfer of shares No restriction Restriction on transfer
Invitation to public to subscribe
its shares
Can invite public to subscribe its
shares or debentures
Cannot invite public to subscribe
to its shares or debentures.

21. THANK YOU