Types of Companies and Their Organizational Structures

Business in Practices- Types
of companies

Contents
Introduction.................................................................................................................................................3
Main body...................................................................................................................................................3
Section 1: Definition, characteristics and examples of micro, small, medium and large size of business
enterprises................................................................................................................................................3
Section 2: different companies from sole trader to Cooperative and limited liability partnership...........4
Section 3: various business organisational structure and the external factors which affect the business..5
There are several types of organisational structures and how these structures affect the productivity
of the organisation...............................................................................................................................5
Using the PESTEL analysis model it is explained the several external factors which affect the
performance of the company...............................................................................................................6
Conclusion...................................................................................................................................................8
References...................................................................................................................................................9

Introduction
Business is a Enterprise in which entrepreneurs produce and sell their goods and services
into the Marketplace which helps them to generate revenue from it. The report is being discussed
about the different types of organisations and their legal entities which are present in the current
scenario (Ardolino and et. al., 2018). The companies are differentiated with respect to their size
and scope in the Marketplace. The different types of organisation and their structure are also
discussed and the external factors which affect the operations of an organisation are mentioned in
the report.
Main body
Section 1: Definition, characteristics and examples of micro, small, medium and large size
of business enterprises.
Micro business organisation
It is this type of enterprise where the single people up to 9 employees are engaged in
order to attain the common goals. They have a turnover of £ 2 million. These are such
organisation which is developed in order to maintain the economic viability and social cohesion
of several regions in the nation. These kinds of organisation used to face unique challenges as
they are small in size and capacity(Shimoda, 2019). The owners of these kinds of companies
have to put more time and effort in order to meet and manage the short-term necessities of the
company. For example: hairdressers, bakery stores and many other small stores.
Small business enterprises
These kinds of organisations used to employ 10 to 49 employees and their ultimate aim is
to attain £10 million revenue from their products and services. The small business organisation
used to provide job opportunities for the local people as they are operating their business at the
small scale and in small areas (Medda, 2020). These organisations can be seen into the
competitive market and some of the examples are gravity on restaurant architecture firms, hotels
and many others. These kinds of organisations usually have informal management style. They
have limited financial resources that's why these types of companies face difficulties in order to
survive in the competitive market.