Capital companies
Single-Person Company
A company owned by one natural or legal person, whose founder is liable for its obligations only up to the capital allocated to it. It lets you operate through an independent legal entity without partners.
- Owners
- One owner
- Liability
- Up to the company's capital
- Management
- The owner or an appointed manager
- Trade name
- Derived from its purpose or the owner's name
Suits: An entrepreneur starting alone · A sole trader who wants to separate personal assets from the business · An existing company wanting a wholly owned arm
Capital companies
Limited Liability Company (LLC)
The best fit for most small and medium partnerships: two to fifty partners, each liable up to their share of the capital, with flexible management and profit distribution.
- Partners
- 2 to 50 partners
- Liability
- Up to each partner's share
- Management
- One or more managers, partners or not
- Shares
- Not offered for public subscription
Suits: Two or more partners starting a joint business · Family businesses · Medium-sized trading and service businesses
Capital companies
Joint Stock Company
A company whose capital is divided into equal, tradable shares, with each shareholder liable only up to the value of their shares. It suits ventures needing larger capital or many investors.
- Shareholders
- At least three
- Liability
- Up to the value of shares
- Management
- Board of directors and general assembly
- Capital
- Divided into tradable shares
Suits: Large and investment-driven projects · Companies planning to bring in investors or expand · Major real estate and industrial projects
Capital companies
Partnership Limited by Shares
Combines general partners, who manage the company with unlimited liability, and shareholders liable only up to the value of their shares. Its capital is divided into tradable shares.
- Partners
- At least one general partner + shareholders
- General partner liability
- Unlimited
- Shareholder liability
- Up to share value
- Management
- The general partners
Suits: A founder who wants to keep control while bringing in financiers · Family businesses expanding with investors
Partnerships
Partnerships (General & Limited)
Companies built on personal trust between partners. In a general partnership all partners are personally and jointly liable for the company's debts; a limited partnership has at least one general partner and a limited partner liable only up to their share.
- Types
- General and limited partnership
- General partner liability
- Personal, joint and unlimited
- Limited partner liability
- Up to their share only
- Firm name
- Made of the general partners' names
Suits: Small family and professional partnerships · Partners with strong trust and prior acquaintance · A financing partner who wants no management role (limited partnership)