Should Britain join the Euro

1
Should Britain join the Euro ?

• Activity
• With a partner, you have 5 minutes to quickly
  prepare an argument either for or against joining
  the Euro.
• 2/3 pairs will be asked to present their
  arguments

2
Types of Business

• Assessment evidence
• E1 Classify the business according to its
  ownership, and explain the benefits and
  constraints of this type of ownership
• A1 Suggest alternative approaches which might
  enable the business to better meet
• its objectives

3
3 Main Sectors
4
The Private SectorSole Trader

• When a single person owns a business (may have
  many people working for them)
• Examples of Sole traders ?
• Of 3.6 million businesses in UK, 2 million are
  sole traders most tend to work by themselves
• Minimum of legal regulation

5
Sole Trader Activity

• Think of an example of a sole trader
• What are the rewards and risks of being a sole
  trader
• (ie. advantages and disadvantages)

6
Sole Trader Advantages / Disadvs

• Advantages
• Freedom
• Simplicity
• Savings on fees
• Independence
• Job Satisfaction

• Disadvantages
• Risk on your own
• Time Long hours
• Expertise do you have all the skills
• Finance can you get enough

7
Partnerships

• Why might a sole trader become a partnership ?
• Common amongst solicitors, accountants, doctors,
  architects
• Restaurant example
• 4 People with different skills / qualities
• Great chef
• Good at accounts
• Great with People - (Customers and staff)
• Good organiser (ordering / shifts etc)

8
Why ?

• Can Specialise
• Raise More Capital
• Can Share Risk
• More ideas
• Share the workload

9
Partnerships

• Common amongst
• Architects, Solicitors, Accountants, Doctors
• Partnership Act
• Sets out some rules - if you dont make your own
  agreement, have to abide with these

10
Drawbacks

• Unlimited liability
• Argument and conflict
• Profits need to be shared
• Size is limited to 20 Partners
• A decision made by one partner is legally binding
  for all other partners
• Partners can be sued due to UNINCORPORATED Status

11
Companies

• Governed by and registered under Companies Act
  1985
• Company has a separate legal identity from its
  members.
• Enjoy the benefit of limited liability
• Ltd and Plc

12
Companies Activity

• You are to research one of the topics on the next
  slide and produce a Powerpoint Presentation
• Some hints
• When doing benefits and disadvantages, think of
  them as opposed to other type of business
• Eg. If doing Ltd, why better than a Plc and a
  partnership

13
The Topic Areas

• Private Limited Company
• The Characteristics, benefits and disadvantages
• Public Limited Company
• The Characteristics (dont do the share aspect in
  any detail), benefits and disadvantages
• Shares
• Everything you need to know
• Limited / Unlimited liability
• The full explanation
• Going Public / Flotation
• Whats the fuss ?

14
Powerpoint Presentations

• The design template
• Choosing the slide layout
• Creating the slides new slide
• Slide sorter moving around / editing
• Custom animation
• Slide show controls / backwards/ forwards
• NO SOUND PLEASE !

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What makes a good PP presentation

• Keep points clear and precise
• Keep animation simple
• Keep slide background plainish
• No Noise !
• Know whats coming next (print off slides for own
  use)
• Dont overload slides
• Keep it professional rather than gimicky

19
Unlimited Liability

• Sole Traders and Partnerships have Unlimited
  Liability
• The owners are not legally separate from the
  business
• They are personally responsible for the actions
  of the business

20
Limited Liability

• Companies and co-operatives
• Incorporated Status
• Legally the business and owners are separate
• For example, if declared bankrupt the liquidators
  can only use the assets of the business to raise
  cash - not the assets of the individuals