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Teaching activity

Teaching Limited Companies & Shareholders - A Piece of Cake

Graham Prior

30th August 2019

Here's an effective and tasty lesson activity to make teaching about limited companies and shareholders a piece of cake!


Before the students enter the room, I put a £1 monopoly note on each student desk. This immediately makes them curious about what is to follow.

I then introduce the basic concept of limited companies and I relate the ownership of limited companies to a cake, that can be cut up into ‘slices’ or shares.

I then bring out a cake and cut it up into a number of different ‘shares’. I keep 3 back for myself and I then invite the students to come up and ‘buy’ a share of my cake or ‘company’ for £1. I then start quizzing them as to who owns the cake, why I kept back 3 slices etc.

I then ask the students, ‘why would I want to sell you a piece of my company’ whilst holding all the £1 notes in the air.

Need I say more.

We then eat the cake…and remember…you have 3 slices!

Enjoy (the cake)

Related Topic Videos - Forms of Business

Graham Prior

Graham is an experienced teacher, examiner, moderator and lover of education with a passion for teaching and learning.

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