1 / 20

PNDBF – Business Organization

PNDBF – Business Organization. Lim Sei Kee @ cK. Three major legal forms of a business entity. Sole proprietorship Partnership Company / Corporation. Sole proprietorship.

moe
Download Presentation

PNDBF – Business Organization

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. PNDBF – Business Organization Lim SeiKee @ cK

  2. Three major legal forms of a business entity • Sole proprietorship • Partnership • Company / Corporation

  3. Sole proprietorship • A sole proprietorship is a business entity owned by one person who is legally responsible for the debts and taxes of the business

  4. Sole proprietorship • Ownership: 1 owner • Life: Ends when owner: • Is unable to carry on, • Dies, or • Closes the firm Responsibility for business debts if firm is unable to pay: Owner

  5. Advantages of Sole Proprietorship

  6. Disadvantages of Sole proprietorship

  7. Partnership • A partnership is a business entity owned by two or more people who are legally responsible for the debts and taxes of the business

  8. Partnership • Ownership: 2 or more • Life: Ends when partner(s): • withdraws, • Dies, or • Closes the firm Responsibility for business debts if firm is unable to pay: Partners individually and jointly

  9. Partners must agree upon: • Amount each partner will contribute • Percentage of ownership of each partner • Share of profits of each partner • Duties each partner will perform • Debts- the responsibility each partner has for the partnership’s debts

  10. Advantages of Partnership

  11. Disadvantages of Partnership

  12. Company / Corporation • A company / corporation is a publicly or privately owned business entity that is separate from its owners and has a legal right to own property and do business in its own name; stockholders are not responsible for the debts or taxes of the business

  13. Company / Corporation • Ownership: Can be thousands • Life: Continues indefinitely; ends when: -business goes bankrupt -stockholders vote to liquidate Responsibility for business debts if firm is unable to pay: Stockholders can lose only the amount invested

  14. Advantages of Company

  15. Disadvantages of Company

  16. Organizational Goals • These are defined as desired outcomes for individuals, groups, or entire organizations • They provide direction for the organization • They are benchmarks against which performance is evaluated • Goals are objectives- the two terms are used interchangeably

  17. Types of Goals: • Financial goals • These are related to the expected internal financial performance of the organization Strategic goals - These are related to the performance of the firm relative to factors in its external environment (e.g. competitors)

  18. Vision • Defines the desired or intended future state of an organization in terms of its fundamental objective and/ or strategic direction. • Is a long term view, sometimes describing how the organization would like the world in which it operates to be. • For example a charity working with the poor might have a vision statement which read “A world without poverty”

  19. Mission • Defines the fundamental purpose of an organization, succinctly describing why it exists and what it does to achieve its vision • This should be a statement of why an organization exist. The purpose of an organization. Ideally it should be one sentence, easily repeatable, and inspiring

  20. GOALS • Big steps towards accomplishing your mission/vision • They should constitute a stretch (not something you know you can easily reach). • They should be aligned with principles and values • Goals, when accomplished, should bring you closer to your vision

More Related