• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

You set up a Sandwich Shop on the High Street in Folkestone. What type of Business would you run, would you be a sole trader, a partner with another person or become a limited company?

Extracts from this document...

Introduction

You set up a Sandwich Shop on the High Street in Folkestone. What type of Business would you run, would you be a sole trader, a partner with another person or become a limited company? A sole trader is when one person has the only share in the company. The best example of this is a window cleaner. But a sole trader doesn't mean that you can't employ people, you could have as many employers as you want it just means that you have the only share in the company. A partnership is when you go into business with other people the minimum of people in a partnership set by the government is 2 and the maximum is 20. A partnership also doesn't limit you to the number of people you can employ. But the company will have unlimited liabilities this means that if your company goes under my investors can come after me for the money the company owes them. And you can lose everything if you go under A limited company can be 1 person or numbers of people who have shares in the company but you have to be invited to become an owner in the company by buying shares. ...read more.

Middle

Also the way the profits could be split on how much money each partner puts in. Say I worked more hours than my partner at the sandwich shop but my partner put in more money in but worked less hours the money could then still be split equally. Another benefit of being in a partnership is that if I got in to trouble with my finances me and my partner could split the costs between us two or the number of partners I have in my business. I could come into disagreement over how the profits will be split between me and my partner and who gets the most control over the sandwich shop. I could also come to a disagreement over how many votes each partner has to make those vital decisions in the sandwich shop, like if I wanted to expand or bring in new products like ice creams. Partnerships often a family business, but divorce or a falling out could lead to the company going bust. Problems will be massive if you do not make a deed of partnership. But if I were to open a sandwich shop and own it my self I would have the benefits of: * Easy to set up ...read more.

Conclusion

Who has put the money into the Sandwich shop (and how much). And what the company does. If I were to be successful in my application for limited liabilities, every year I would have to call an annual general meeting. And every year the people in business house would ask my company to produce an Article of Association in this I would have to state. The voting rights in my company, how the profits will de split in my company, the duties of my directors and finally what is to be done after the Annual General Meeting (how the company is going to go forward). It costs between �50- �150 to become a limited company. Some disadvantages of being a limited company are that: * All documentation must clearly state that you are a limited company (ltd). * And annually you must send the people in business house your audited accounts. Audited means checked by an accountant. And when they go to this house any member of the public can request them. Overall the one I chose in my opinion would suit me an my Sandwich shop the best. ?? ?? ?? ?? ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our GCSE Business, Companies and Organisation, Activity section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related GCSE Business, Companies and Organisation, Activity essays

  1. Business Studies

    endanger others in an illegal way > Employees who partake in the action during the bargaining period can not; - lose their job - have their job description altered - lose benefits - be threatened with the above actions - Overt; lockouts, pickets, strikes, bans and work to rule Overt

  2. Explain the main differences between a Sole Trader, a Limited Company and a Public ...

    Once a company has been formed, there are legal reporting requirements. For sole trader and partnership, the owner or each partner has to make an annual self-assessment return to the Inland Revenue. As an incorporated company, preparation of publishing and reporting annual accounts is required in compliance with the Companies' Act.

  1. Business plan for a new shop.The business idea I am going to be presenting ...

    be one person who is liable for everything to do with the business. The advantages of being a sole trader is that its is a small business so less money is required, quick decisions can be made without having to consult others, all profits are kept to one person and financial information can be kept private.

  2. English for business

    Imagine that you are interested in applying for a job. And you have come across the following advertisement. Read the advert and write two more. Sdk International Has an immediate career opportunity in your city: SALESMAN Candidates should have excellent verbal communication; skills in both English and Romanian, strong personality and creativity and age should be under 30.

  1. Applied Business Unit 1

    If the process is by automation than procedure is programmed to a computer that automatically assigns machinery to start manufacturing. This process is efficient as machinery movements and processes are precise and accurate and the process is exactly repeated and recorded.

  2. Business studies - Business Plan

    none in this area although the start up cost will be very high, and I will continually have to bring in new machines by also in time selling foods and also offering pool tables it will bring in more and more people allowing for the high costs.

  1. Business Plan. After putting a lot of thought into what kind of business we ...

    It gives the business its own identification. So when choosing the name I had to think about whether the name gives out a good image to my target market. I also had to think about whether my target market would respond to the name and I had to justify how they may observe it.

  2. Sole TraderA sole trader is a business that is owned and controlled by one ...

    The owner has to pay Vat if turnover is large enough and they reach the vat threshold. The owner for the business is completely responsible for all debts of the business up to the limits of his or her personal wealth.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work