types of business organisations 

==sole trader== - one person owns and operates business

• easy to set up
• receive all profit
• full control
• unlimited liability - liable for debts
• lack of financial resources

==partnerships==- two or more people running business together

• easy to set up
• new skills and ideas
• more capital investment
• can be conflicts
• unlimited liability

==joint stock companies==- can sell shares to raise capital - shareholder buy the shares and receive dividends

• limited liability- not liable for debts
• separate legal identity from owners
• shareholders elect board of director

private limited companies - sell shares to friends and family

public - shares to public

==franchise== - buy the right to use name of business

• less chance of failure
• brand is already known
• promotion will be financed by franchisor
• but initial costs are high