11 Running a business Vocabulary tax liabilities to raise cupital a share issue to sell shares at a premium to sell shares at a discount to call in one’s loan an annual payment of interest the loan is secured a charge over a company asset a memorandum of association to conform to EU law articles of association it conforms to an authorized pattern to hold an interest in another firm assets and liabilities insider trading individual proprietorship organizational fees net earnings multinational corporation to be in charge of the company a body corporate a certificate of incorporation safe custody of documents a declaration of compliance a statement of capital to discharge the debtor from obligations laws were superseded by a code to adjudicate sb bankrupt to keep accounts to be entitled to remuneration to dispose of the property retail business to set up/start a business suspension of activities to issue debentures/bonds to operate as a sole trader to pass a resolution appointment and removal of directors independent auditor registered office to elect a board of directors double taxation legal entity, artificial legal person, juridical/juristic person legal person legal personality natural person register of companies to be formally in order articles of association, bylaws objects powers of directors general meeting of shareholders internal regulations/guidelines insolvency to become due lack of means trustee/official receiver to exercise powers debtor and creditor to buy shares/stocks on the stock exchange Definitions Company (or Corporation) Limited liability Insider trading Ultra vires transaction Bankrupt Individual proprietorship Questions 1 Describe the forms in which a business may be run under English law. 2 Describe the process of setting up a limited liability company. 3 Describe the forms in which a limited liability company may be dissolved.