Module 1: Business Ownership Questions And Answers 100% Verified A+ Guaranteed

No for profit organisation {Ans: Is not operating for profit or gain of its individuals, any profit goes into operation of organisation. The assets and income of the NP organisation shall be solely used for the objectives of the NPO.}NP: Disadvantages {Ans: -limited to operating in the state of incorporation -not closely monitored or regulated so no clear guidelines for operation and for resolving disputes}SPC: ownership {Ans: It can ave no more than 50 shareholders. Shares cannot offered to the public}Small Proprietary Company {Ans: A separatelegal entity, it has Propreitary (pty) and limited (ltd) in its name. (1-50 shareholders)}What are the type of business ownerships or forms? {Ans: -sole trader -partnership -small proprietary company -not for profit organisation -franchise}Franchise: Disadvantages {Ans: -franchises have to follow franchisors procedures -less autonomy in business decisions -restricted territory for operation and promotion -ongoing costs of franchise fees -may be restrictions on selling business}