Chapter 2 key terms

2. A person who owns shares in a corporation; also called a stockholder
4. Raising money using the owner’s resources or money from investors
7. A business that buys goods and resells them to consumers
8. A group of individuals who run a corporation or co-operative and make decisions on behalf of the shareholders
10. A unit of ownership in a corporation
11. A corporation with many shareholders, whose shares can be bought and sold on a stock exchange
12. A business owned and operated by the provincial or federal government
15. the part of a corporation’s profit after taxes that each shareholder receives
17. An organization, often a charitable organization, that does not seek to make a profit from the operations of the business
21. A business that produces goods for sale
22. A corporation owned by a small number of shareholders
23. A business owned by members who utilize the goods and services offered
24. A business owned by, but existing separately from, its shareholders
25. The legal document that establishes a partnership and each partner’s responsibilities
26. A business with two or more owners who share the responsibilities and profits/losses
27. The parent company who grants the franchise and provides goods and/or services to the franchises

1. A restriction on the extent to which the shareholders (owners) of a corporation are personally responsible for its debts, limiting their liability to the amount they originally invested
3. A business directly owned by one person who receives all profits and is responsible for all liabilities
5. The most common form of partnership, in which the partners share in responsibility, decision making, and profits. However, the partners have unlimited liability for the debts of the business
6. for claims against the business that goes beyond the amount invested in the business and extends to one’s personal assets
9. A business that provides a service to satisfy the needs or wants of consumers
13. The formal name for a city or town
14. A person who runs a franchise operation and is under contract, or licensing agreement, with the franchiser
16. A partnership in which the liability of each partner is limited to the amount of his or her investment
18. Borrowing money to finance operations of the business
19. A business owned by members who utilize the goods and services offered
20. A business project that matches the skills of two individuals or businesses for mutual benefit
26. A corporation owned by a small number of shareholders