2. Answer the questions:

1. What is the simplest form of a business organization in the UK?

2. Is it necessary to publish accounts for a sole proprietor?

3. When must the owner’s name be registered?

4. What are advantages and disadvantages of a sole proprietorship?

5. Who usually opens ‘one-man’ business?

6. How can the amount of money available for investing be increased?

7. How many people can form a partnership?

8. What liabilities and legal requirements does a partnership have?

9. Who usually organizes a partnership?

10. How many members are there in a private limited company?

11. Who is it controlled by?

12. How is the profit distributed?

13. Does a Private Limited Company have any legal requirements?

14. What industries do these companies work in?

15. Why don’t they usually become large?

16. How many shareholders does a Public limited company have?

17. Does it have any liabilities or legal requirements?

18. Who are the owners of the Public limited company?

19. Where can their shareholders sell their shares?

20. When will the price of shares go up or down?

1. True or False?

1. The simplest form of business organization in the UK is ‘a small business”.

2. A sole proprietor is one person who provides the capital and has a complete control of the business.

3. It is necessary for a sole proprietor to publish the accounts and there are some special legal requirements for him.

4. It is difficult for a sole proprietor to compete with large firms.

5. But it is easy for him to raise money for expansion.

6. The amount of money can be increased by forming a corporation.

7. Like sole proprietors, partnerships have unlimited liability and there are no special legal requirements.

8. Private Limited Company usually has more than 100 members.

9. Private Limited Company shares can be offered for sale to the general public.

10. The Private Limited Company profit is distributed to the shareholders in proportion to the number of shares they own.

11. Private Limited Company usually becomes very large.

12. Public Limited Company can offer its shares for sale to the public.

13. It can’t have more than fifty shareholders.

14. The Board of Directors controls Public Limited Company

15. The Public Limited Company shareholders can sell their shares back to the company

IV. Match the equivalents:

1. Product manager	a) Годовой отчет
2. Retailing	b) Помощник руководителя
3. Shareholders	c) Совет директоров
4. Subordinate	d) Внести капитал
5. Superior	f) Ограниченная ответственность
6. Contribute capital	g) Товарищество
7. Annual accounts	h) Частная акционерная компания
8. Limited liability	i) Менеджер, ответственный за производство и реализацию
9. Board of directors	j) Предоставлять капитал
10. Partnership	k) Публичная акционерная компания
11. Private limited company	l) Собрать капитал
12. Provide capital	m) Подчиняться кому-либо
13. Raise money	n) Розничная торговля
14. Sole trader	o) Акция
15. Stock exchange	p) Акционеры
16. Unlimited liability	q) Единоличный торговец
17. Assistant to manager	r) Подчиненный
18. Public limited company	s) Начальник
19. Report to	t) Неограниченная ответственность
20. Share	u) Фондовая биржа

V. There are four main types of legally constituted company. Each type of company has different characteristics. Tick the correct characteristics for each business type, or write ‘possibly’ if the characteristic could apply:

	Single individual owns a company	Two or more owners are directors	Quoted on stock exchange	Workers run the company	Unlimited liability	Limited liability	Owner is self-employed
Public limited company
Private limited company
Sole proprietor
Partnership