Task 2: Types of business in the UK

Investigate and identify the various types of business in the UK, this should include:

Sole traders

Sole Traders is when a business is either individually owned or being self-employed, for what this means is that when you own this business, you are responsible for every aspect of your business especially including finances. The only problems that might become involved when being a sole trader is that there is financial risk such as the income is on the individual so any debt curated by the business is fully on that individual. Examples of what types of businesses uses sole traders are; small businesses/freelancers, tradespeople who are self-employed such as plumbers and workers who do gigs, such as taxi drivers.

Limited companies

Limited Companies are a type of business structure that limits the shares and guarantee which are also usually set up as private companies, this means it's usually controlled by more than one person and can also put money towards and vote to any liabilities aimed at the company. Examples of what types of businesses uses limited companies are; shop retailers such as John Lewis and B&M and private companies such as dentists and lawyers.

Partnerships

Partnerships are an arrangement when a business is owned by more than one person, meaning for some professionals can join together due to sharing the same sort of knowledge and both wanting the same outcome from their jobs. Examples of what types of businesses uses partnerships are; Uber and Spotify as both shared similar goals so combining their products to generate more of a userbase. Nike and Apple are also two massively popular companies who took on a partnership so their fitness products (trainers and watches) could linked together to again get more customers. 

Social enterprises

Social Enterprises are they focus on specific objectives revolving around socialising as they try to achieve the maximum amount of profits leading to them also maximising the benefits to the environment and also society. These can be most likely found in areas such as local high streets  Examples of what types of businesses uses social enterprises are; cinemas which are found towns and cities and brings in people to watch movies in a more sociable environment and banks like the Co-Operative and Santander.

Charities

Charities are organisations that are focused on objectives such as being helpful towards the community, peoples' wellbeing and generosity, charities can be mostly independently funded and owned by people. The way they get funding for those objectives is by receiving donations from the public along with hosting fundraisers or events to promote their cause and a more interactive way for people to donate funds. Examples of what types of businesses uses charities are; Children in Need, a fundraiser usually televised annually to raise fund for help children at their most vulnerable and Battersea, a charity that focuses on rescuing cats and dogs and opening up so those rescues can be adopted into loving homes.

Unincorporated associations

Unincorporated Associations are organisations which are made up from an agreement amongst a group of people who team up for reason that isn't just about making a profit. These can be very easy to form as it requires a small amount of formalities in order to create the associations. Examples of what types of businesses uses unincorporated associations are; trade unions, an agreement amongst people like residents down a street who would corporate in paying for treating their streets and small football teams.