Ch 5 Business Organization

1. Short, specific written statement of the reason a business exists and what it wants to achieve.
4. 2 or more businesses working together for a limited time on a specific project.
6. business which leases its trade name and operating system to another person
10. Create the products and services used by individuals and other businesses.
11. A business that takes resources from nature for direct consumption or for developing other products.
14. wealthy individuals who seek high returns through private investments
16. money raised by a business or investor in exchange for a share of ownership of the company
17. partners have an unequal share and liability in the business; they are responsible only for the amount they invested
20. partners share equal liability in the profits and losses of the business
21. Businesses involved in selling goods and services to consumers or businesses.
22. money borrowed from a business or investor which must be repaid over time with interest
23. groups of individuals who invest their money in various types of companies in search of making a profit

2. a source of ready cash in case of unplanned issues
3. Written contract granting permission to operate a business to sell products in a set/specific way.
5. Descriptions of the way work is to be done
7. Owned by members and serves their needs and is managed in their interest.
8. someone who has business experience and will aid in guiding a company to success
9. A separate legal entity formed by documents filed with your state. Owned by one or more shareholders and managed by a board of directors.
12. A business owned and controlled by two or more people who have entered into a written agreement.
13. Guidelines used in making consistent decision
15. A business owned and operated by one person.
18. Supplies are obtained/purchased from other producers and then converted into other products.
19. Cultivate land and use natural resources to grow crops and livestock for consumption.