Business Structures and Classifications: A Comprehensive Look

Posted on Dec 12, 2024 in Law & Jurisprudence

Business Structures and Classifications

**Employer:** The owner or manager of an industry, business, or enterprise.
**Business Risk:** The risk assumed by the employer in economic activity to estimate a selling price of products in anticipation of the market.
**Innovative Entrepreneur:** An innovator who leads economic development.
**Entrepreneur:** An agent of economic development.
**Board of Directors:** A group of experts in decision-making and the owners of the company.
**Individual Enterprises:** A natural person who carries on their behalf and a company through a trade or business.
**The Professional or Self-Employed Entrepreneur:** A person performing an economic activity in their own name.
**Company:** The basic economic unit responsible for satisfying market needs through the use of human resources.
**Individual Entrepreneur:** An individual who makes a trade, business, or profession.
**Private Civil Society:** Based on a contract by which two or more persons are obliged to pool money, property, or industry, with the intention of dividing earnings.
**Individual Company:** A type of company that has a physical personality.
**Enterprise Society:** A type of company with legal personality.
**Public Civil Society:** The same as a private civil society, except that the agreements between the partners are public and are notarized.
**Commercial Company:** Formed by different people to meet a common endowment to assist in operating a business, in order to profit.

**General Partnership:** All involved in the management of the company, except for industrial partners who only provide work.
**Limited Partnership (Simple):** Two types of partners:
- A) Those directly involved in the management of the company and respond personally.
- B) Those who make an economic contribution to society and participate only in economic performance without intervening in management and have a third-party liability limited to their contribution.
**Joint-Stock Company:** Differs in that the participation of limited partners (who only provide capital) is represented by shares.
**Private Limited Company:** The number of partners is one or more.
**Working Society:** A corporation or limited liability company. The capital is divided into registered shares.
**Company Bodies:** General Assembly, Board of Regents, Resources Committee, Auditors.
**Cooperative:** An association of people with common interests; economic performance is attributed to the partners. Types include worker cooperatives, consumer and user cooperatives, housing, agrarian, communal land holding, service and sea, transport, insurance, health, education, credit, etc.

**Shareholders:** Owners of shares of the company and therefore own the same.
**Workers:** The set of people who exchange their labor for wages.
**Technology:** Joint production processes, techniques, and materials used to produce items (machines, computers, etc.).
**Providers:** They provide the raw materials, services, machinery, etc., necessary for companies to carry out their business.
**Customers:** Those who demand the goods or services provided by the company.
**Company’s Competition:** Companies that produce the same goods or provide the same services and with which they must strive to attract customers.
**Public Agencies:** Both the central and autonomous regions and municipalities determine the activity of the company through labor laws, fiscal, social, etc.

**According to the Source of Capital:** Public, private, or mixed.
**According to the Economic Sector:** Primary, Secondary, Tertiary.
**Depending on the Size:** Micro (less than 10 employees), Small (less than 50 employees), SMEs (less than 250 employees), and Large Enterprise (more than 250 workers).
**According to the Shaping of Their Capital:** Multinationals, financial groups, National, and Local.
**According to Social Function:** With-profit, non-profit, and economic solidarity.

**General Partnership:** All partners agree to participate with the same rights and obligations, responding in a subsidiary, joint, and several manner for the debts.
**Limited Liability:** The capital shall comprise the contributions of all partners who are not personally liable for company debts.
**New Limited Liability Company:** A type of Limited Liability company.
**Corporation:** Social capital contributions comprise members who are not personally liable for company debts.
**Company Limited by Shares:** The share capital is divided into shares to be formed by the contributions of members, one of whom is responsible for the administration of society and is personally liable for corporate debts as a limited partner.
**Limited Partnership:** The existence of general partners who contribute capital and labor and respond in a subsidiary, joint, and several manner for the debts.