2. Match the word/phrase with the synonym.

to run	a) to cover
to make a go of it	b) to be responsible for
to split	c) to bring to the end
to be liable for	d) at risk
at stake	e) to operate
to incur debts	f) to divide
to pay off	g) to run up debts
to claim	h) to achieve a success
to wind up	i) to ask for, to take or state that you should have

3. Read the text again and decide if the following statements are true (t) or false (f).

Setting up any new business in UK you have first thing to register it.
A sole trader is self-employed and has to overcome challenges on his own.
All partners are responsible for the debts of the partnership, and profits and losses are shared between them.
If you wish to start a public limited company you should have a big sum of money at your disposal.
Director of a limited company usually is the one who holds the majority stake.

4. Complete the following sentences using appropriate preposition or no preposition at all.

1. The advice of an accountant and solicitor … which business is the most suitable arrangement for you is quite necessary.

2. You have to tell the authorities that you are working … yourself.

3. A sole trader is responsible … any debts incurred.

4. If your partner is not the right person you will have to pay … the debts he has run up.

5. A limited company often involves working … other people.

6. It is important that you can trust … your colleagues.

7.It should be pointed …. that limited liability generally concerns onlyPrivate and Public Limited Companies.

8. Plc’s can trade their share … the open market.

9. To sell the shares they must apply … a particular authority.

10.A sole trader or a self-employed person runs his/her business … their own.

5.Complete the sentences choosing the appropriate form.

1. The most complex way of (set, setting, to set) up a business is limited company.

2. Annual accounts of your company should be properly (audit, audited, auditing).

3. You have to be able to (trusted, trust, trusting) your associate.

4. The directors (managed, managing, manage) limited companies are appointed by shareholders.

5. The rules for (manage, managed, managing) the company, are set out in a special document (calling, called, call) “Memorandum”.

6. In pairs, decide which of the advantages and disadvantages below you would associate with the following forms of business. In some cases there may be more than one correct answer.

A sole trader a partnership a private limited company

Advantages

1. You have total control of your business.

2. This is a good way of sharing the pressure and work of starting a business.

3. The financial risks that you are taking are restricted.

4. You can increase your capital by selling shares

Disadvantages

1. There is a danger that conflicts of personality could ruin your business.

2. It may be difficult to expand.

3. You may have to sell your possessions if the company goes into debt.