Economic Project

Contents

Introduction

Business Registration

~Meaning

~Registration Procedure for Sole Proprietorship and Partnership

~Registration Procedure for Limited Company

~Registration Procedure for Overseas Company

~Registration Fee and Levy

~Payment Methods

~Cancellation

Sole Proprietorship

~Definition

~Popularity

~Set-up process

~Advantages

~Disadvantages

~Reason of suitable for Small Business

~Examples

Partnership

~Definition

~Features

~Forms/Establish

~Liability

~General partnership

~Limited partnership

~Advantages

~Disadvantages

~Tax rate

~Dissolution and Termination

Limited Company

~Meaning

~Advantages

~Disadvantages

~Private limited companies

~Public limited companies

~Shares

~Procedures of Formation

~Taxes

Comparison

Conclusion

Working Table

Meaning

  This type of company has evolved over the years and provides a framework within which a business can operate effectively. A limited company is usually the best vehicle for business, in all but the smallest of business. It is certainly the only sensible answer if capital is being introduced by those who are not actively involved in running the business (shareholders).1

Limited company has limited liability. Limited liability means a person contributes capital to a business but does not take any part in running the enterprise it seems unfair to expect that person to be liable for all the debts of the business to the limit of his/her personal wealth. It is fairer if he/her has ‘limited liability’, which means that their liability is limited to the amount of capital they have contributed. They can lose that amount of money into a business, because they know that they can lose only that amount of money.2

1 How To Set Up And Run A Company (First Edition) - Michael Lane

   Straightforward  Publishing  (1998) P82,83

2 Business Studies (Second Edition) – Geoffrey Whitehead

   Butterworth - Heinemann Ltd (1994) P88,89

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