Archive | Business Studies

An ideal partnership is a name given to a successful business. A partnership will be successful when there is proper understanding among partners.

Following are the essential characteristics of a partnership firm:

A partnership is an association of two or more persons to carry on, as co-owners, a business and to share its profits and losses.

Partnership becomes illegal in the following circumstances:

The word implied authority denotes the authority to bind the firm which arises by implication of law from the fact of partnership.

The procedure of registration of partnership firm is very simple. A partnership firm can be registered at any time by filling a form containing the following particulars.

The word unlimited liability denotes no limitation to the liability. Unlimited liability is advantage to partnership firm because of the following reasons:

In the absence of partnership deed the following rules regarding rights and duties are followed.

One man control is best in the world if the man is big enough to manage everything. One man control is considered as best because of the following reasons:

Sole trading business has social desirability because it renders indispensable services to the society. The society need sole-trade form of business because of the following reasons:

The legal position enjoyed by a sole-trade business are as follows:

Sole proprietorship is suitable for those establishments where the following conditions are satisfied:

The characteristics of the sole proprietorship form of business organisations are:

Sole proprietorship is a form of business organisation where one individual introduces capital, uses own skill and intelligence, takes all profits and assumes all the risks of the business.

Every business is started to earn profits as it is essential for the survival and growth of business enterprises. Profit earning should be regarded as the main objective of business unit.

An objective denotes a goal for the achievement of which efforts are directed. Every business has its sets of objectives.