Different Types of Companies working in the Market

There are so many types of the companies that work in the boundaries of the state, the types of the companies depends on the religion, custom and beliefs that are followed by the particular country but here we are going to explain few companies that are most common in the countries probably almost in each country.

Chartered Companies:

Such companies are created or formed on special charter meaning on the special orders, these companies are mostly formed in the country whose ruler is known as the King or the Queen, there is a world famous company named as East India Company which was formed for the special purpose which was to occupy the India by the King.

Statutory Companies:

These are the companies in which the parliament of the company is involved, these companies are mostly for the public services, these companies are not formed to earn profit these are formed to serve the public of the country.

For such type of companies the parliamentary members of the country has to put forward a bill to the chairman or the head of the parliament and after a discussion on that bill the bill is passed with the majority voting generally as 2/3 majority.

Registered Companies:

Each company has to be registered with the state if they want to work legally by following the rules of the country otherwise the company which is formed unregistered can be fined by the state for non registration.

The registration of the companies are necessary in case that the country earn its profit from the revenues that are generate from the taxes and company should also be registered with state if unfortunately any unpleasant accident occurs so for the compensation the company need to be registered and it is also necessary for the acquiring the funds from the financial institution and general public.

Private Companies:

These are the companies which are carried by the families mostly, the board of directors for such companies can be two up to the fifty neither less nor more, these companies are owned and operated private peoples to earn the profit, the audit for such company relies on the mood of the family no government influence on such company is there., they do not ask funds from the general public, they do not issue shares.

Government Companies:

These are the companies which are carried out by the state whose majority of shares say for suppose fifty one percentage of the shares are owned by the government, such companies generally provides the subsidized products to the public in order to maintain the mechanism.

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