7 Questions
Owned by -- person. Sole trade has the same --------- as its owner. The owner is legally responsible for all aspects of the business including unlimited ______.
1, legal enitity, liability
If the business is unable to ---------, the owner may have to sell their -------______, such as properties, to ------------- to pay off the liability.
pay its debts, personal assets, raise enough money
Sole trade has the same ------- as its owner. The owner is -------- for all aspects of the business including ______-------
legal entity, legally responsible, unlimited liability
A partnership is a business owned by --------- A partnership has the ----------------- to its owners and therefore has ______--------
2 to 20 people, the same legal entity, unlimited liability
Partnerships can help a business access ------------- ______ as all partners can ---------------
larger amounts of capital, pool their funds together
Partners share in any ______ the business ---------. The amount each partner receives is ---------------- of the business the partner owns.
profits, generates, proportionate to the percentage
When starting a partnership, there should be a ---------------- set out so each partner knows their clearly -------- ________. This can help to ---------------- as each partner knows their ------------------
partnership agreement, defined role, prevent conflict, roles and responsibilities
This quiz covers the characteristics of a sole trader business structure, where the business is owned by one person and the owner has unlimited liability for all aspects of the business. Learn about the legal entity, ownership, and liability of a sole trader business.
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