Business+Classification+Vocabulary

|| A public company is a business that is listed on the Australian Stock Exchange (ASX). There is no limit on the amount of owners/shareholders. Also has Ltd at the end of its name. ||
 * ** Sole Trader  ** ||  An unincorporated business with one owner.  ||
 * ** Partnership  ** ||  An unincorporated business with more than one owner.  ||
 * ** Private Company ** ||  A business with limited liability. It has between one and fifty owners, they are called shareholders. Also has the letters Pty Ltd at the end.  ||
 * ** Public Company  **
 * ** Franchise  ** ||  A license to operate an individually owned business as if it were a part of a chain of outlets or stores.  ||
 * ** Franchisee  ** ||  A person or organisation purchasing a franchise.  ||
 * ** Legal Structure  ** ||  How the ownership of the business is registered  ||
 * ** Owners’ Equity  ** ||  The owners’ financial claim on the assets of a business. It is the original investment made into the business by contributing capital or buying shares, as well as any profit the business makes.  ||
 * ** Unincorporated businesses  ** ||  Sole traders and partnerships. These are businesses that are not companies because they have not gone through the legal steps for incorporation.  ||
 * ** Unlimited Liability  ** ||  If a business has unlimited liability, the owner of the business is personally responsible (liable) for the debt incurred by the business.  ||
 * ** Limited Liability  ** ||  If a business has limited liability, the owners (shareholders) are not personally responsible for the debt incurred by the business.  ||
 * ** Shareholders  ** ||  Owners of a company. They provide the capital that allows the company to operate.  ||
 * ** Prospectus  ** ||  A document that describes the nature of the business, its financial performance and possible risks that the business may face. It is issued to possible investors.  ||
 * ** Cooperative  ** ||  A type of company where the owners are either the suppliers or customers of the business. They have limited liability.  ||
 * ** Trust  ** ||  An organisation that is responsible for managing the assets on behalf of an individual or a group of individuals.  ||