HND商法导论outcome3.ppt

Outcome 3 Legal Differences between Sole Traders, Partnerships and Incorporated Bodies Types of Business Enterprise Private sector business organizations （私营经济的组织形式） ↓ Unincorporated Incorporated Businesses business (非法人企业) （法人制企业） ↓ ↓ Sole trader Partnership Private Public （个人独资企业） （合伙） limited company 1.Sole Trader个体经营户 Sole trader is set up by one person, in which the person manages and owns the business. He/she takes all the profits but has to bear all the losses. If the sole trader becomes insolvent（无力偿还的）, his personal assets（资产） can be used to satisfy the creditors（债权人）.He∕She has unlimited liability（无限责任）. To set up as a sole traders does not require any formalities（手续）.They need not make any business information public. 有限责任是与无限责任相对而言的，二者是投资者对其投资企业的债务承担责任的形式。 所谓有限责任即有限清偿责任，指投资人仅以自己投入企业的资本对企业债务承担清偿责任，资不抵债的，其多余部分自然免除的责任形式。 无限责任是指责任人以自己的全部财产承担的责任，如合伙人对合伙债务承担的责任，投资人对个人独资企业债务的责任等 。 Advantages : It is the simplest form of business organization recognized by Scots Law. There are no legal formalities . Easy to set up. Owner takes the key decisions. Personal touch with customers. owner keep the profits. Disadvantages : If the business fails, the sole trader is said to have unlimited liability for all debts . Owner to find all capital Difficulty to expand because of unlimited liability. Lack of continuity Pressure from larger units. 2. Partnership : 合伙企业 Partnership is a business operated by 2 or more people, in which each partner contributes something to the business, whether it be a skill or merely capital investment. The Partnership Act 1890 is the legislation which governs partnerships. According to this act, the partnership can be sued or sue. The partnership will firstly use its own assets to pay its debt. If it isn’t enough, the partners will be