Key Sources of Laws for Business Organizations in the UK

Business Management
BMP4002 Business Law
Assessment 2
Report describing the key sources of laws
as the legal context for business
organizations in the UK
Submitted by:
Name:
ID:
Contents
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Table of Contents
Introduction .............................................................................................................................3
Businesses & Organizations in the UK......................................................................................3
The legal business structure of UK companies.........................................................................4
Recommendations for IOM Solutions.......................................................................................7
REFERENCES............................................................................................................................. 9
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Introduction
The UK legal system is unique and complex and covers range of protection to secure the
rights of the individual. An organization is formed to conduct business activities with a
primary objective of earning higher profit. There are various forms of organization which
varies according to the nature, type and size of the business. It includes sole proprietorship,
Partnership, Limited Liabilities partnership and limited company etc. It is important for the
organization to encourage and motivate the employees to identify their efforts so tat they can
achieve the desired goal of the organization. Business law covers the statute of company law,
employment law and contract law and many more (Carree, Lokshin and Alvarez, 2019). This
report will cover various forms of business organization and its advantages and disadvantages
according to its nature and type. Further, it will provide the suitable recommendation to the
IOM solutions so that they can expand their current sole trader business into other potential
business.
Businesses & Organizations in the UK
Business is a group of people which is established and formed to satisfy the need and
demand of the market. It requires adequate resources such as capital, funds, machinery, labor
etc. to perform business activities. A company is regulated by the Act of 2006 which provides
certain unique features to an organization. It includes separate legal existence, common seal,
perpetual succession, limited liability etc. A registered company is considered as legal entity
which is always distinct from its owners. An organization of combination of people including
directors, shareholders, investors and employees who contributes their dedication towards the
success and growth of the business. The nature of the organization is complex and involves
continuous process. The dynamic and uncertain business environment requires the
management to frame effective plans and polices in order to deal with complex business
culture. Finance is manage by the finance manager who are appointed to prepare the financial
statement and maintain the financial accounts to ascertain the financial performance of the
organization. The shareholders are the owners who contribute their part of share in the capital
of the company. The role of employees are crucial as they are the asset of the organization.
Employment law is another important legislation of the UK that defines the roles and
responsibilities of the employees and employers to develop better relation between them. It is
enacted to protect employees from all kinds of discrimination that are generally take place in
the organization (Dawson, 2018). As per the Company law, several documents are being
prepared that defines the internal management of a company and helps in the process of
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