Forms of Ownership

A group of people, called members, who get together to form a business. They share resources, infrastructure and costs.

A company that is registered to offer its stock and shares for sale to the general public. The selling and buying of shares mostly take place through the Johannesburg Securities/Stock Exchange (JSE).

The reason for the formation of this company is not to make money, but rather to serve a public purpose or cause.

Between one and ten people could start a CC and they are called members. The name must end with the suffix CC.

The directors are jointly and severally liable for all the debts and liabilities of the company. In other words, the directors have unlimited liability.

Companies where the government is a major shareholder, they provide infrastructure such as communication, transport and electricity.

A business that has a minimum of two partners, and not more than twenty, who owns the business. These owners share the responsibilities of the business and they share the financial and management decisions of the business.

The company is a separate legal entity. The company name must end with letters (PTY) Ltd.

A business that is owned and managed by one person. It is the most common form of ownership used by small