BUSINESS
WHAT IS A PARTNERSHIP?
• A legal form of business operation between two or more individuals who share management
and profits.
• There are several different types of partnerships. The two most common are:
- general partnership: the partners manage the company and assume responsibility for the
partnership's debts and other obligations.
- limited partnerships: has both general and limited partners. The general partners own and
operate the business and assume liability for the partnership, while the limited partners
serve as investors only; they have no control over the company and are not subject to the
same liabilities as the general partners.
PARTNERSHIP BUSINESSES
Honda
Intel
Skype
HP
Warner Bros Pictures
Coca-Cola
Sony
WHAT IS A LIMITED COMPANY?
• A limited company is a type of business structure that has been incorporated at Companies
House as a legal ‘person’.
• Its completely separate from its owners.
• It can enter into contracts in its own name and is responsible for its own actions, finances and
liabilities.
• The owners of a company are protected by ‘limited liability’, which means they are only
responsible for business debts up to the value of their investments or what they guarantee to
the company.
LIMITED COMPANIES
WHAT IS FRANCHISE?
• A contractual relationship between a licensor (franchisor) and a licensee (franchisee) that
allows the business owner to use the licensor's brand and method of doing business to
distribute products or services to consumers.
FRANCHISE