How many types of business are there? What's the difference?

How many types of business are there? What's the difference?

The business model is divided into 5 types as follows:

1. Sole or Single Proprietorship

sole proprietorship It is a business management by one person. make use of low cost It has a simple operation method. Management is also highly flexible, such as grocery business, beauty salon, clothing store, etc.

2. Partnership

It is a business that has 2 or more people as partners. Which can be divided into 2 types:

Ordinary partnership (Ordinary Partnership): Partners jointly responsible for unlimited amounts of liabilities, including ordinary partnerships registered as juristic persons and not registered.

Limited Partnership (Limited Partnership): A registered partnership. Partners can be divided into two types:

- Limited Liability Partners: Responsible as he or she determines.

- Partner with unlimited liability : Liability for all liabilities without limit.

3. Limited Company (Corporation)

It is a business registered as a juristic person to seek profit from the business. By dividing the capital into shares of equal value and having shareholders ranging from 7-100 people, with the shareholders having limited duties. Can be divided into 2 types:

- Private limited company

- Public limited company

4. Cooperative

A business model with a group of 10 or more people aiming to promote careers and livelihoods of members and families for a better living. which benefits both cooperative members and the public Can be divided into 2 types:

- Co-operative Limited : Responsibility is limited to the shares held.

- Unlimited cooperatives: joint responsibility without limit on debt.

5. State Enterprise

Organizations or entities owned by the government Including companies or agencies whose administration is between the government and private sectors. taking into account the peace of the people in the country and preventing corruption

State enterprises are divided into two types:

- Juristic state enterprises: Organizations or agencies established by the state and registered as juristic persons. It operates separately from its shareholders or owners.

- State-owned enterprises that are not juristic persons: state-owned enterprises wholly funded by state capital Affiliated with a government agency as the founder but not registered as a juristic person

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