Forms of Ownership (Grade 12 NSC Matric Business Studies): Flashcards
📚Flashcards
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Practise the cards
10 cards from this deck
Legal personality/entity
Legal personality/entity
Business acts as person in law; can sign contracts, sue/be sued
Audit
Audit
Independent exam of financial records to ensure accuracy
Directors
Directors
People chosen by shareholders to run the company
Shares
Shares
Portions of ownership in a company
Sole trader
Sole trader
Single-person business owned & operated by one individual
Partnership
Partnership
Business owned by 2+ people sharing profits, losses & duties
Private company share restriction
Private company share restriction
Cannot sell shares to the general public
Public company share access
Public company share access
Can sell shares to anyone on the stock exchange
Non-profit company purpose
Non-profit company purpose
Serve social purpose, not make profits for owners
Why businesses change ownership form
Why businesses change ownership form
As they grow and develop, their needs change over time