A business is clearly defined as an enterprise or organized entity, normally of indefinite size, engaged in commercial, administrative, or consultative activities. Businesses can either be for-profit entities or non-profitable ones that work to meet a social need or further an environmental cause. Businesses also include publicly traded corporations, partnerships, LLCs, and the like. The activities performed by businesses may be domestic or international.
A company’s status as a legally existent entity is determined by its Articles of Organization. These include either a partnership corporation, sole proprietorship, or some other form of organization. Each of these entities has a governing body known as the board of directors. The board of directors generally report to a public board of directors or to a special committee. This committee then makes the determination of the powers and duties of the company. A business structure will provide for one or more subsidiary corporations that carry out different functions on behalf of the parent company.
Public corporations are those corporations that have been authorized by the state to transact business. This business power is given by law or by the constitution of the state in which the corporation conducts its business. Examples are public utilities that are privately owned and regulated by the state. Examples of public corporations include the Arizona Corporation Commission, which is the state’s licensing board. Private corporations can be either publicly held or privately owned but cannot be both.
Another distinguishing feature of a corporation is that it possesses a separate legal personality even though it is a corporation. This characteristic is referred to in the legal field as corporate citizenship. Since a corporation is not considered as an individual and is not accountable to anyone, the laws of corporate citizenship protect the rights and privileges of the shareholders or members of the corporation. This also ensures that the interests of the general public are protected from direct interference. The two main articles of corporate law that a company should follow are the express terms of the corporation agreement and its operating agreement.
The second main article of corporate law is referred to as the corporate secrets. These articles guarantee the financial privacy of the shareholders of the corporation. This is because the shareholders do not normally share their confidential information with the public. These articles of corporate law also set out the terms under which the company may trade, manage, or hold its stocks and bonds. It is also required that these businesses follow strict guidelines when it comes to the transfer of intellectual property.
There are various types of businesses that exist today. Each type of business has its own characteristics and legal rights that must be protected. In most cases, businesses can split into two distinct categories: privately owned enterprises and publicly owned enterprises. Private businesses are those that are owned by individuals. Publicly owned businesses, on the other hand, are those that are owned by the state or by a government agency.