Types of Companies: Micro, Small, Medium, Large

BSc (Hons) Business Management with
Foundation
BMP3002
Business in Practice
Assessment 1
Types of Companies
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Contents
0

Introduction 2
Section 1: Different types of companies and how they work
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Section 2: Different companies from sole traders to cooperatives
and Limited Liability Partnerships 3
Section 3: Different businesses structures and internal factors
affecting business 5
Conclusion 7
Reference List 8
Introduction
1

The goal of this assessment is to give a rapid overview of the many types of
businesses that are available in terms of competitiveness. The study investigates
how firms are categorized based on their nature and responsibility, using a range of
instances. The study also highlights the relevance of organizational structure,
focusing on the two most common types. There are many different types of
businesses that are established, each having its own structure, purpose, structure,
and responsibility. The following report was completed by Tesco, a global brand with
headquarters in London, United Kingdom.
Section 1: Different types of companies and how they work
Micro business:
There are no more than ten employees in this type of business. This is a small
business with an annual revenue of less than £2 million and a balance sheet with
less than £316,000 pounds. The owner must invest a small amount of money to
carry out practically all of the obligations and activities of this sort of firm. According
to statistics, these micro-businesses contribute to the wider economy (Gao and Li,
2020). It also benefits the economy by focusing on developed and emerging
economies that are ignored. This type of microbusiness is usually started with the
same amount of capital as the previous one, and it is managed, run, and controlled
by the same person as the prior one. It benefits the economy by sustaining economic
cohesion throughout the United Kingdom's regions. Freelancing, architecture
businesses, electricians, and so on are examples.
Small business:
This is a company with a small amount of capital invested by the owner, yet it
has more than one comparison to a small company. This sort of business, according
to the Companies Act of 2006, does not employ more than 50 people and therefore
does not employ less than ten. The annual revenue of the company is less than £10
million, and the total balance sheet must not exceed £4 million. Small firms are
usually sustainable in terms of income and scope as they can satisfy customers
easily. The corporation hopes to enhance the economy both locally and
internationally, and it may be capable of contributing more monetarily in the future.
Perhaps this type of business makes a major contribution to the economy. As a
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