Factors the determine the forms of business unit

Factors the determine the forms of business unit

Some of the factors are;

1. The amount of capital available.

2. The number of persons involved in the
formation.

3. Who owns the business unit – government or private individuals.

4. The nature of the business the proposed business unit is to carry out.

5. The sources of capital of the business unit.

6. Whether the business unit is formed to make profit or to render essential services or to promote the business interest of its owners.

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