DOI link for Introduction
This introduction presents an overview of key concepts discussed in the subsequent chapters of this book. It is essentially engaged in some business or commercial activity. Business organisations may be classified into the following three categories: Private Enterprise, Public Sector Enterprise (PSU), and Joint Sector Enterprises. In Sole Proprietorship, one person provides the entire capital, bears all the risks and manages the business that is, being a 'one-man army'. Partnership is where two or more persons enter into a contract to conduct lawful business and share its profits. A co-operative society is a voluntary association of persons who join forces to carry on a commercial activity. A joint stock company in the private sector could be either a private or a public company. Public sector enterprises include departmental undertakings, government companies and statutory corporations. Types of business finance include short, long and medium term finance. A business form can raise funds from two main sources owned funds and borrowed funds.