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I. Answer the following questions. 1. What are the main reasons of developing different forms of business ownership?

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1. What are the main reasons of developing different forms of business ownership? 2. Is it difficult to decide what legal form of business to choose? Why? 3. What is a sole proprietorship? 4. What is a sole proprietor responsible for? 5. What kind of businessmen does the sole proprietorship suit? 6. Why may a sole proprietor decide to form a partnership? 7. What are the main advantages and disadvantages of a sole proprietorship? 8. Why do you think this form of business is very risky?

II. Translate the following sentences into English.

1. Появление существующих трех основных форм собственности тесно взаимосвязано с эрой бурного экономического прогресса во всех отраслях промышленности. 2. При единоличной форме собственности владелец получает всю прибыль предприятия, однако он также несет неограниченную личную ответственность в случае неспособности выполнить обязательства перед поставщиками и клиентами. 3. Если партнер занимается частным предпринимательством, он один отвечает за управление, доходы и, следовательно, за долги. 4. Владелец берет на себя всю ответственность и взамен получает всю прибыль. 5. Вся информация о частном предприятии регистрируется в регистре собственности в Земельной регистратуре. 6. Если вы хотите заняться частным предпринимательством, обратитесь за консультацией к юристу.

Partnership

The partnership is an association of two or more persons who have agreed to combine their financial assets, labour, property, and other resources as well as their abilities and who carry on a business jointly for the purpose of profit. The agreement the partners usually sign to form an association is known as a partnership contract and may include general policies, distribution of profits, responsibilities.

When the owners of the partnership have unlimited liability they are called general partners. If partners have limited liability they are called «limited partners». There may be a silent partner as well – a person who is known to the public as a member of the firm but without authority in management. The reverse of the silent partner is the secret partner, a person who takes part in management but who is not known to the public.

Any business may have the form of the partnership, for example, in such professional fields as medicine, law, accounting, insurance and stockbrokerage. Limited partnership is a common form of ownership in real estate, oil prospecting, quarrying industries, but very seldom in manufacturing or trade.

Like the sole proprietorship, the partnership is easy to establish, and its profits are not subjected to federal corporation taxes. Financing is generally easier to obtain because the personal assets of the group are usually larger and the chances of success are higher.

The major disadvantage of the partnership is unlimited liability of each partner for the debts of the business, that is, complete financial responsibility for losses. Furthermore, partners who wish to retire may find it difficult to recover their investments without dissolving the partnership and ending the business. Another disadvantage is that partners may disagree with each other. So it is essential to know your partners well and trust them.

Vocabulary

financial assets – финансовые средства

labour – рабочая сила, рабочие, работники

property – имущество; собственность

ability – способность, возможность

to carry on business jointly – вести бизнес вместе, совместно

to recover – возвращать, получать обратно

general partner – главный партнер с неограниченной ответственностью

limited partner – партнер с ограниченной ответственностью

silent partner – партнер, известный общественности, но не имеющий права голоса

secret partner – партнер, неизвестный общественности

limited partnership – компания с ограниченной имущественной ответственностью

stockbrokerage – маклерство

real estate – недвижимое имущество, недвижимость

oil prospecting – нефтеразработка

quarry – каменоломня, открытая разработка, карьер

furthermore – к тому же, кроме того; более того


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