Type of ownership for my business

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First I have to decide upon a type of ownership for my business which is suitable for my situation and the three types of ownership which are suitable for me are sole trader, partnership and private limited company and the three types of ownership which aren’t suitable for me are franchises, public limited company and co operative. Franchise- isn’t suitable for me as it requires me to run a branch of a large company which isn’t suitable for me as it takes large start up costs

A public limited company- takes several people, which causes me to have less control over my business and the profit I get from my business will be decreased and my business will be on the stock market so anyone can buy stock in my business so they can have equally buy part of my business and because I am a small business so people may not invest in my business Co-operative- a co-operative type of ownership wouldn’t suit my business as the employees own the business, so they would have more of a say in how the business is run and would also have a bigger percentage of the profit made.

Sole trader sole trader wouldn’t suit my business, I would have full control over my business and I would get all the profit from my business but I would get any support for my business so I would have a greater chance of my business failing and I would have to put all the money into my business and I would also have unlimited liability which could involve me losing my home, which make being a sole trader to risky.

Private limited company Allows me to raise the funds for my business quicker and easier but I would have little control over my business, the business would have limited liability so I wouldn’t have to sell any of my assets out of the business but the downside to a private limited company is that it require a lot paper work to start the business and my business would be slow to grow.

Partnership

I think the best ownership for my business would be partnership as it makes it easier to raise fund for my business and I will also not be the only person who is liable for the business which make the business less risky. I can also bring in a partner who Is skilled, experienced and can bring good ideas to my business and I will also have equally control and profit and I hope my business can expand quickly. Primary research As it primarily obtain, I will be the first person to access this information so I will be able to indicate who my main market is.

My primary research will also help me offer the best service for my customers; also help me offer the right price and a great range of products. Secondary research As secondary research is research that already exists will help me to find competitor price and help me to find a good location to suit my business, it will also help me to see the range of product I can offer and also potential products that I could offer to my customers. It also allows me to find any means of transport near possible locations and rent prices.

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