Business Law Report: Analysis of Business Organizations and Funding

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Added on  2023/01/19

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This report provides an overview of business law, focusing on different types and classifications of business organizations. It explores the legal structures available in the UK, including private and public limited companies, detailing their advantages and disadvantages. The report also examines various funding methods, such as government grants, crowdfunding (reward-based and equity-based), investment from investors, and self-organized funding. The conclusion emphasizes the importance of business law in ensuring the safety, security, and systematic operation of organizations. This report aims to clarify the purpose and aim of business law and its impact on business operations and decision-making, helping students understand the application of law in running a company. The analysis includes an introduction, discussion of legal structures, advantages and disadvantages, and conclusion with references.
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BUSINESS LAW
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TABLE OF CONTENTS
Introduction
An introduction to different types and classification of business organisations
Advantages and disadvantages of different legal structure
Conclusion
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INTRODUCTION
Business law in the country has been establishes with the rues and regulation
to have the maintenance over the stability along with justice in particular
community. The law in the country basically provides in the resolution of the
conflicts along with having insurance over peaceful and well functioning of
the society. In this repost there will be discussion regarding the various
sources of law along with role of government in the proper formulation of law
in country.
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An introduction to different types and classification of
business organisations
The public sector organization is having the part of
country economy which being effectively controlled which is
being accountable by both of central government ans the local
government. The funds are directly being provided which have
the tendency over the services publicly rather than having the
production of products fort the development of profit. They have
to listed their shares on the London stock exchange this can
attract a larger amount of the fund from mutual funds ,
institutional traders and hedge funds.
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Advantages and disadvantages of different legal structure
United Kin is offering different structures for company
they all have their own advantages and disadvantages as well
(Albers, Wohlgezogen and Zajac, 2016). The best approaches if
they are instead to forming is to engage with the company that
can assist them in determine that best for the collaborate goals.
By using any company which which can offer quality advice and
formations , they will be fully prepared to make the proper
decisions. There are two different legal stature which can be
followed by companies.
Private limited company
private limited companies are separate legal entity in a
public limited company’s shares are sold to pubic. Most of the
finance for company come from public shares. Minimum 50,000
dollars share capital are provided to the public ((Bikas,
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Advantages
members in the private limited company are well known to each other and this
is advantage for them there all control in the hand of owners capital.
In the management of affairs and a conduct of business has more greater
flexibility
statuary meeting is not required after submitting the statuary report
Disadvantages
public limited companies have disadvantages in restricts transfer-ability of of
shares by its article
this companies have limited member and employees they can not be expand
more then 50
shares can't be Quoted in the stock exchange
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Public limited companies
Public limited companies In a United kingdom are governed by a
companies act 2006. this companies have more capability to rise their fund as
compare to the private companies (Nardi, 2018). They have to listed their
shares on the London stock exchange this can attract a larger amount of the
fund from mutual funds , institutional traders and hedge funds.
Advantages
becoming a public corporation is an invite from the partial ownership ,
invitation which can reach 1000's of people which is depending on the brand
size
personal liberates can be reduced through the public limited company
In any company attached with public limited company then it can be beneficial
for their brand name. They can increase their value in the market
huge amount of investment from the public fund.
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Government grands
government provide funds to the companies through the government
agencies at least 2 external viewers and research by internally award
committee review each applications. They make short list according to the
ranking. Project are funded by government and application of projects are
informed. They take fund from the government for their business
Crowdfunding
there are two types of Crowdfunding reward based and equity based
crowd funding. Just for staring a business for small firms they can pre-sell a
services or products. People buy a share from for in the exchange of money
((Habermas, 2018). They take some profit share of that particular firm
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Rise from inverters
companies can rise their fund through the inverter they have to show
their investment plans to the inverter and if they are interested in the projects
then they can invest in their business. There are many people who are
interested to invest their money on companies. Organization's have to find
those inverters . When year complete then they have to give reward from their
profit. This is one of the common method use by company.
Self Organized Funding
In the self organized fund owner of the company invest their own fund
in the business. They do not take fund from others (Nardi, 2018). They invest
brand some investment from their family , fends and people they know.
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CONCLUSION
On basis of above report it has been concluded that how much business law
can be helpful thing for the organization to be safe and secure. In other words,
the whole study has been defined about the purpose and aim of the research in
order to concluded the business law. Apart from this, it has been concluded
from the research that how sources of law in United state will be more
effective for the company that maintained the systematic results
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