Advantages of a Public Limited Company (Plc) :: Business and Management Studies

Advantages of a Public Limited attach to (Plc)Tesco is a public modified company (plc). A lot of long companies gopublic. This is because unlike a private limited, a plc is able to publicise the sale of shares and sell them to members of the generalpublic though the stock exchange.Advantages of a Public Limited Company (Plc) Shares potbelly be advertised Shares faecal matter be change through the stock exchange Large plcs may fuck off it easier to borrow from banks Shareholders have limited liability Cheaper acceptance and bulk purchasingDisadvantages of a Public Limited Company (Plc) spillage public brook be expensive Some plcs ordure grow so large that they may become difficult to fight effectively Risk of takeover by rival companies who have bought shares in the companyA lot of companies go public. This is because of solely the advantages ontop. The shares can be advertised so that means more people result seeit and might invest in it. The shares can be sold throug h the stockexchange. This means it is open to the public and its not only thepeople who get invited can by its share. Tesco can find it easier toborrow from banks because the banks know that they will get theirmoney back with thither interest. There are several different types of possessor ship. They are* resole traders* Parternership* Private limited companies* Public limited companies (Tescos)* Co-operative* Not for profit or a charity* Franchise restore traderA Sole Trader is a stage business that is owned by only 1 person. They areresponsible for everything that goes on in the business. An example ofa sole trader is usually an off licence, taxi driver, sweet shop etcetera Advantages of a Sole Trader--------------------------- Easy to set up no legal formalities of fees Own boss and can make all the decisions Keep all profits Can be set up with relatively little capital Personal contact with customers can abet consumer loyaltyDisadvantages of a Sole Trader----------------- ------------- possessor have limited funds and may find it difficult to borrow money from banks Owner have to work long hours and cannot afford to be sick The owner have unlimited liability The owner must be a jack of all trades Small businesses are often unable to service from bulk purchase discounts.Partnership-----------A partnership is a business owned by two or more people. There can bea maximum of 19 people in a partnership. Forming a partnership is onesolution to overcoming certain disadvantages associated with running a