Business today can be categorized into one of quite a wide range of enterprises. The type is as follows: sole proprietorship, partnership (to which could fit in one of three classes – general, limited and limited liability partnerships), a company, or simply a cooperative.
This, however, is only a common variety of business entities, as different countries have got their own varieties of business entities.To illustrate, in Chile you can find four types of business entities, in Indonesia, you will find ten, while in Luxembourg you can find only two. There are many companies that offer assistance in starting a business in Indonesia like emerhub
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For those who plan to start their own company individuals, classifying their company as an entity usually terrible business in its own right, which is why a consultant's business plan is very important.
Being that there are various models of entities out there, a small business consultant is required when the need entrepreneurs to start a company.
Here is a look at the two main models of business entities.
There are many businesses today that can be categorized as a corporation. According to the reference site, the corporation is "a licensed entity organized under the rules of the country, designed to build the entity as a separate authorized entity holding its own rights and obligations distinct from its owners."
Based on the book of R. C. Clarke referred to as the "Company Law" and Henry Hansmann book "The Anatomy of Corporate Law," a company has four core features specific:
– Legal personality
– limited liability
– Transferable stocks
– centralized management under a spacious layout