This report will show the type of ownership of the businesses. It will also be discussing the business’s objectives and the reasons for these. It will look at and explain the functional areas of the business, and how these contribute to the meeting of the business’s objectives. Also it will describe the management style, organisation structure and the culture of the business, and how these interrelates in the business. Also how these affect the performance and operation of the business and how they help the business to meet its objectives.

The report will then explain how the production process, quality control and quality assurance helps the business to add value to its product. The report will then go onto describe the effects that would happen if the business used a different type of quality control and quality assurance. Lastly it will look at how ICT is used for internal and external communication of the project. Partnerships are easy to establish. It is an agreement between two or more people who take joint responsibility for the running of the business, the share its profits and share the risks.

There are from two to twenty owners, so work roles can be allocated, and so problems experienced from sole traders may be eliminated. The business can also obtain greater finance than a sole trader through having more owners. But decision making may be slower. The business also has unlimited liability. Companies have a minimum of two people required to form it. It has a separate legal identity from its owners; also the company can sue or be sued by other people or companies.

There is more finance available than in sole traders and partnerships because they have investors. They also have limited liability for the members and separate legal identity for the company. There are two types of company, Private Limited Companies (Ltd) and Public Limited Companies (PLC). The owners of Private companies are called shareholders because they each own a share of the business. There must be at least two shareholders, but there is no limit to the amount of shareholders that there can be. Companies can expand by selling shares to people.

The shares of private companies can not be quoted on the stock exchange though, and they are not allowed to advertise the sales of their shares publicly. Public companies have a minimum share capital of i?? 50,000 to establish themselves. To become a company both public and private must be incorporated. They then send articles and memorandum of Association to Registrar of Companies. A certificate of Incorporation is then received. A private company can then start trading. A public company must raise authorised minimum capital and then obtains trading certificate.