General legal aspect relating to businesses

Extraits

[...] 1.Where are you doing your business? Where is it mainly operating 2.Whether, depending on the kind of business, you have a legal obligation to have your business in the country. E.g.: For banks or insurance companies, you have to have your company incorporated in the country you operate 3.Incorporation fees are different from country to country 4.Taxes are sometimes lower in some countries 5.Flexibility: Is it easy to create the company here? Will it take a long time? How flexible are the rules? [...]

[...] This is decided by comparing it to other companies, risk analysis and analysing the expenses of the business •Assets are intermingling: When the assets of a company are shared and cannot be attributed to a company (extreme case). In this case, all the companies sharing the assets are liable for the debts of one company. All the companies will be considered to be one big company. The principle of limited liability is disregarded. •Fraud or wilful misconduct: The aforementioned points were fulfilled on purpose To avoid fraud a regulation has been established that oblige starting a company with at least two shareholders & publish its financial position. [...]

[...] General legal aspects relating to businesses Starting a business: incorporate (create a company) or do it as an individual/sole proprietor (sole trader) Enterprise (business) vs. Entrepreneur (Businessman/woman) person or entity (company) that owns and runs and operates the business (enterprise). Businessman/sole proprietor (or sole proprietorship): individual owns and manages the company Corporation / company: business organized as a legal entity. Limited liabilities warranty-exceptions: -Shareholders warranty: Banks often ask for warranties of the shareholders till the company is the primary entity to pay the liabilities. [...]