Businesses act as conductors of economic activity.
A business is an enterprising entity or an organization that is engaged in commercial, industrial or professional endeavors. Business activities are done through the production of different goods, offering and providing services in different industries and selling manufactured goods.
Types of Business Structures
Sole Proprietorship is the most basic form of business structure in which the business is owned by a sole individual who owns all assets and financial obligation of the business.
Partnership in contrast with the sole proprietorship is a type of business owned by multiple individuals or entity with shared duties in operating a business.
The corporation is a company or a group of people authorized to act as a single business entity. It is considered as the most advantageous way of starting a business as it exists as a separate entity.
Limited Liability Company is a business operation that has combined benefits of both partnership and corporation. The members of the company are released from being personally liable for the company’s debt or liabilities.
A Franchise is a system in which entrepreneurs purchase the rights to open and run a business from a larger corporation or existing companies that are aiming for expansions.
Some of the activities associated with business are accounting, finance, manufacturing, marketing, research and development sales and more.
When starting a business venture, a realistic and defined business plan, capital and the guts to take on the challenges set by the business world are the most essential to have.
Every business has important intellectual property that needs to be protected from the public especially from their competitors. These properties include patents, recipes, trademarks, copyrights, and trade secrets. Keeping it a discreet keeps the business stay profitable. Companies require employees to sign non-disclosure agreements to protect the company’s integrity.