business organization

• give 3 legal aspects of business

  i) partnership

  ii) sole proprietorship

  iii) company
• a partnership exists when..

  at least 2 or more persons pool their capital and work together
• the business of sole proprietorship is owned by..

  one person only and the simplest form of business organization
• when a company is formed, it has become incorporated under what act?

  company act, 1965
• the company formed is treated as a...

  separate entity, independent of its members
• give definition of partnership

  section 3(1) : relation between persons carrying on a business in common with a view of profit
• what are the elements must exist before a business is considered as a partnership?

  1. more than one person
  2. agreement between the partners
  3. present transaction of business activities
  4. each partner is an agent to another
  5. for the purpose to profit
• what are the types of partner?

  1. general partner
  2. active partner
  3. dormant partner
  4. quasi-partner
• what is general partner?

  he is a partner in the fullest sense
• what is an active partner?

  partner who actively participate in the management of the business