Business Law: Nature, Formation, and Management of Business Organisations

Nature, formation,
and management of
Business
Organisations

Table of Contents
INTRODUCTION...........................................................................................................................3
.........................................................................................................................................................4
TASK ..............................................................................................................................................4
Business&Organisations in the UK............................................................................................4
The legal business structure of UK companies..........................................................................5
Recommendations for IOM Solutions .......................................................................................8
CONCLUSION ...............................................................................................................................8
REFERENCES..............................................................................................................................10
Books and Journals........................................................................................................................10

INTRODUCTION
Business law commonly know as mercantile or corporate law,wherein collections of rights and
liabilities are consolidated in order to govern or regulate activities of business organisations. It
includes business conduct and business faculties engaged in commerce, merchandising, trading
and sales operations within an organisation (Nsubuga2019). The Company law of United
Kingdom regulates the corporations established under Companies Act 2006. There are other laws
such as insolvency Act 1986, the code of UK corporate, the directives of European Union and
court cases. A company in a business law is a primary legal medium which organise and run
business. The branches of business law includes, law of contact, law of agency, sales of goods
Act and many more. Business law helps in understanding the potential legal issues which may
arise during the course of business, to make reasonable decision and to avail legal assistance to
counter legal challenges. To support this report, a case study is taken wherein, a sole trade
company called an IOM solutions looking for potential business structure with the purpose to
expand their business operations. IOM solutions trades in electric parts and has successfully
covered market which led to increase in demands. Sam who owns a IOM solutions is a single
owner and wants to expand business and therefore seeks recommendations for better potential
business alternatives.
TASK
Business&Organisations in the UK
Business organisations are generally organised for generating huge revenue and profits.
The nature of business includes various activities like, production, purchase, distribution. A
business deals with either goods or services and there is active regularity of transactions which
makes a business vital. The aim of a business is to make profits by fulfilling human wants. The
management of an organisation is a collection people employed to maintain coordination and
structured in a professional formation to attain the goals of an organisation (Oxford
Analytica2019). The management of a company is well organised and bifurcated into different
departments such as, Human Resource department, Marketing department, manufacturing
department, production department, sales department etc. A business is just a structure which
has a legal identity, whereas the owners, stakeholders, directors and managers are the mind of a
business who takes important decision of a business. Business law has many branches which