Recently I launched a 5-Day English Speaking WhatsApp Course and to expand it further, I asked my CS (company secretary).
“What should we register so that we can do training business and she suggested to register a partnership firm with the registration of GST Number.
So, I thought of sharing types of organization with you.
An organization can be any entity in which people who are employees or directors work for one goal.
This is my definition though, you can find more by searching online.
I am writing this blog post just to give you a brief idea about types of an organization so that when you will need to register one, you will not be completely blank.
First type I will write according to the ownership.
In India, we call it One Person Company (OPC). It can also be known as Sole proprietorship in which the owner of the business is only one person.
Second is a Partnership Firm. A partnership firm can be owned by a minimum of two partners who will be a partner is the risks of loss as well as rewards or profits.
The third is Corporations which is registered by the state and it has a board of directors.
A Private Limited Company can start with minimum two directors.
There is another type of Corporation which is a Public Company. They are free to transfer their shares among members. It can have a minimum of 7 directors.
Not for Profit Organization
These types of organizations are created to serve society but without any intention to create profit. They also need to register themselves but they are not liable to pay taxes as they are not getting any profit.
They can be registered as a Society or Trust.
We can write a complete blog over each type.
Then, there are organizations that are owned and operated by its members. It is called cooperatives. A lot of cooperative organizations are working in villages too to help villagers in finances, in selling their crops, milk etc.
Last but not the least is Franchise. This is not a part of Not-for-profit organizations.
In a franchise, you need to sign a contractual agreement to use the name and logo of the brand and sell their products and services.
It’s better to start with a franchise of a popular brand if you are not going to launch your own brand.
There could be a few more which I might have missed but I have tried to give you a basic understanding so that you can decide which one you want to start for your own business.
It can also change from country to country.
That’s for today, see you tomorrow.