Forms of Business Entity

Business Form
• Proprietorship
• Company Partnership / Partnership
(Firma, CV)
• Corporation / corporation
Individual company

Individual company is
A business owned by an owner
 All profits Control
Only for completely
businessman

The advantage
partnership
Company

Organization Low tax

Simple
Take responsibility
Answer Top
All Limited Funds
loss

The disadvantages
Partnership
company

Responsibility Skills
Answer Limited
Unlimited
Partnership
 Partnership Benefits

Loss More there

Additional Funds Be borne Specialization
Together
 Losses Partnership

Share Responsibility Share

Control Answer Profit
Unlimited
Corporation
Responsibility
Transfer
Answer
Access Ownership
Limited
To
Capital

Corporate profits
 Corporate Losses

Cost Transparency Problem Tax

Organization   Public Agency High
High
Comparison of Business Forms
Business Liability Continuit Manageme Source of
Form y nt Investme
nt
Proprietorshi -Personal Ends with Personal, Personal
p -Unlimited death or unrestricted
decision of
owner
General -Personal End with Unrestricted or Personal by
Partnership -Unlimited death or depends on Partner(s)
decision of partnership
any partner agreement
Corporation Capital As stated in Under control Purchase of
Investment charter, of board of Stock
perpetual or directors, which
for specified is selected by
period of stockholders
BUMN
Business Entities which most of the
shares are owned by the State
Wealth is separated based on
government regulations
Characteristics of BUMN
His efforts are to help the government, in
building public utilities
Producing goods because of consideration and
security and confidentiality must be controlled
by the state
Implement government strategic policies
The aim of protecting the safety and welfare of
the community
Business is commercial and its function can be
done privately
Cooperative
The owner is a member and customer at
the same time
The highest power is in the RAT
One member is one vote
The organization is administered
democratically
Collected individuals
Management is open
Considerations in choosing a
Business Form
Ownership
Organization
Capital
Tax
PT Go Public Requirements
Registering on the Stock Exchange
(listing)
Initial IPO (Initial public offering)
Conduct good corporate governance
Publish financial reports regularly
 
Types of International
Companies
Multinational Company
International Company
 Ownership Method in Existing
Business

Franchising
Joint Venture
Licence
Merger
Acquisition