The companies can be divided according to the type of financial assets, so there are the limited companies, the unlimited companies, the partnerships, the limited partnerships, the limited liability partnerships, the sole proprietorship and the corporation.
The limited companies are the companies where the liability of the members is only limited in the amount of money they invested in the company in the form of shares. The limited companies can be found in the form of private companies or public companies. The limited companies are found all over the world.
The unlimited companies are the companies where the liability of the members is not limited in the amount of money they invested in the company in the form of shares. The unlimited companies are not widely spread as the limited companies but can be found in some countries.
Partnerships are actually a kind of an agreement between two or more persons or parties that agree to make a corporation that aims for profit, one of the parties of the partnerships can be the government.
There is also another type of companies which is called limited partnership where one or more persons have unlimited partnerships in the company while there might be one or more that are limited partnerships.
While the limited liability partnerships is a partnership where all the partners have limited liability, that is what makes the limited liability partnerships different than the limited partnerships.
Sole proprietorship is the company that is owned by one person and he is the director of it. In this type of companies there is no legal difference between the owner and the business.
The last sort of companies is the corporations which has features from the limited companies as there are share holders which don’t have liabilities in case of liquidation as they only lose the money they invested in the company but their other properties are safe.
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