Innocent Ltd and Cadbury Plc are two different companies that have similarities and differences with their ownership. I am going to compare and contrast these two companies.
Innocent Ltd and Cadbury Plc are both large companies which are in the private sector. They both have limited liability so the shareholders are not responsible if the company is in debt or if the company is being sued. The companies are incorporated which means there is a separation of ownership and control. The shareholders only lose the money they invested in the business. The shareholders own the company. Cadbury shares are available to the public so it is easier to expand because there is more access to capital where as with Innocent they have to invite people to invest capital so it is harder for them to expand. You can buy a share in Cadbury’s at the moment from the London Stock Exchange for about 573p in the UK and $36.82 in the USA.
Innocent was founded by three college friends. They started the company in 1998 and gave up their jobs for it. They weren’t sure whether to give up their job for the smoothie business so they set up a market stall and sold some smoothie. They put out two bins, yes and no with a sign above the table saying “Should we give up our jobs to sell smoothies?” At the end of the day there were more cartons in the yes bin so they gave up their job and today their company is making millions. The founders are Richard Reed, Adam Balon and Jon Wright and they own 70% of the business. Maurice Pinto who is a wealthy American businessman lent them £250,000 and has a 20% share of the business. All the workers have a share in the business and all together they own 10% of it.
Cadbury had to have at least £50,000 of shares to become a public limited company and Innocent only had to have about £2.50 worth of shares to become a private limited company.
The two companies both had to draw up a... [continues]
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(2008, 11). Compare and Contrast the Ownership of Cadbury Plc and Innocent Ltd. StudyMode.com. Retrieved 11, 2008, from http://www.studymode.com/essays/Compare-Contrast-Ownership-Cadbury-Plc-Innocent-181960.html
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