Legal Structure and Organisation

• A sole trader is a business owned and managed by one person. It is the most common and simplest form of business structure. With a sole trader, all profits and losses are the responsibility of the owner.
• A limited company is a business owned by two or more individuals or corporations. The owners of the company are known as the shareholders and they have limited liability for the company’s debts.
• A partnership is a business owned by two or more people. Each partner shares in the profits and losses of the business.
• A not-for-profit organisation is a business which is formed with the aim of providing a service to the public, rather than making a profit. The primary purpose of a not-for-profit organisation is to benefit the community, rather than the owners.
• A charity is a type of not-for-profit organisation which is formed to provide assistance to those in need. Charities typically rely on donations to fund their activities and do not make a profit.