What term describes a business organization usually owned by between 2 and 20 people?

What term describes a business organization usually owned by between 2 and 20 people?

• A. Partnership
• B. Mutual organisation
• C. Limited company
• D. Online business

Answer: (A)

In this form of business, two or more people own and run the business together, sharing profits and decisions. This small-owner structure is typical for partnerships, which are usually owned by between two and twenty people. Unlike a limited company, where ownership is via shareholders and liability is often limited, a standard partnership involves personal responsibility for debts and a hands-on approach to management. The other options don’t fit because a mutual organisation (often a cooperative) is a different ownership model and an online business describes how the business operates rather than its ownership structure; a limited company can have many owners and is a separate legal entity.

In this form of business, two or more people own and run the business together, sharing profits and decisions. This small-owner structure is typical for partnerships, which are usually owned by between two and twenty people. Unlike a limited company, where ownership is via shareholders and liability is often limited, a standard partnership involves personal responsibility for debts and a hands-on approach to management. The other options don’t fit because a mutual organisation (often a cooperative) is a different ownership model and an online business describes how the business operates rather than its ownership structure; a limited company can have many owners and is a separate legal entity.