The most effective form of business organisation for raising capital is the
A) joint venture.
B) syndicate.
C) sole trader.
D) partnership.
E) corporation.

Question

Quizplus · Accepted Answer

A corporation is the most effective form of business organisation for raising capital because it can issue stocks and shares to investors who are interested in investing in the company. This provides a way for the company to raise large amounts of capital, which can be used to fund growth and expansion or to take advantage of new business opportunities. Additionally, corporations tend to have a more established reputation than other forms of business organisation, which can make them more attractive to investors looking for a stable and profitable investment.

The Most Effective Form of Business Organisation for Raising Capital