It is crucial for a potential business investor to analyze the different business structures available in the UK, so that they can choose the most appropriate structure for their business needs or objectives, whilst also considering the legal and financial implications of each. There are three grassroots business organizations in the UK, each with individual characteristics, merits and demerits. The structure an investor will choose depends on factors such as the size of the company, available capital and the liability of its members. A sole proprietor is an individual who carries on business alone without having registered a sole proprietorship. Unlike companies, there are fewer controls on setting up sole proprietorships and they are usually governed by general contract law. The individual entrepreneur, unlike other forms of business, can use company funds in any way thanks to his high autonomy. This is an appropriate structure for a single person with capital but not for large-scale investments. A successful sole proprietor may be willing to form a partnership with interested investors to expand the business. There are three main types of partnerships: simple partnerships, limited partnerships and limited liability companies. An ordinary partnership is governed by the Partnership Act 1890 unless excluded in the partnership agreement, and section 1 of the Act defines it as "the relationship subsisting between persons carrying on a business in common with a view to profit" . A partnership does not necessarily have to be formal and can occur through agreement or oral conduct. Unlike corporations, partnerships do not have a separate legal personality, so the assets of the business are directly owned by the partner… paper halves… funds. Most large companies are public companies, because they can easily raise funds by offering shares to the public or listing them on the stock market. A public company is one whose articles of association certify that it is a public company. Must have PLC at the end of the name. They are subject to more onerous regulations than LTDs. They must have at least two directors and a company secretary. PLCs must have at least £50,000 of authorized share capital and cannot start trading without a trading certificate. They must also hold an annual general meeting; written resolutions cannot be used in a PLC. After analyzing the different business organizations available in the UK, the type an investor chooses will depend on factors such as the type/size of the business, its financial obligations, privacy and liability of its members
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