Buisness

Internal environment

Factors within a business that the business has control over

External environment

Surrounding factors that impact a business but are largely outside its control

Macro factors

Broad external conditions (social, legal, technological, global, economic) that a business has no control over

Operating factors

External factors (customers, suppliers, competitors, interest groups) that a business has some control over

Sole trader

A business structure owned and operated by one individual

Partnership

A business structure owned by 2 to 20 people

Private limited company

An incorporated business with 1 director and up to 50 shareholders

Public listed company

An incorporated business with unlimited shareholders that sells shares on the stock exchange (ASX)

Social enterprise

A business that sells goods/services to achieve a social or environmental goal, reinvesting most profits into that cause

Goverment business enterprise

Unincorporated

Business and owner are the same legal entity

Incorporated

Business is a separate legal entity from its owners

Unlimited liability

Owners are personally responsible for all business debts

Limited liability

Owners are only responsible up to the amount they invested

Debt

Money owed by a business or individual

Capital

Resources used to fund a business (e.g. money, equipment)

Director

Person(s) responsible for managing a company

Shareholders

People who own shares (part-owners) in a company

Dividends

Payments made to shareholders from company profits

Company tax

Tax paid by companies on profits

Personal income tax

Tax paid by individuals on their income

Partnership agreement

A document outlining roles, responsibilities, profit sharing, and expectations of partners

Australian Securities Exchange (ASX)

The marketplace where shares of public companies are bought and sold in Australi