business entity
Legally recognized company
A business entity is any organization formed to conduct commercial activity—corporations, partnerships, LLCs, sole proprietorships.
The term emphasizes legal structure rather than what the business actually does: The contract must be signed by an authorized representative of the business entity.
Tax and liability rules vary by entity type.
- corporationLegally separate business entity
- parent companyFirm owning subsidiary businesses
- joint ventureCollaborative business arrangement
- limited partnershipVenture with protected investors
- partnershipShared business arrangement
sole proprietorship · LLC · registered agent · articles of incorporation · capital · management · compliance · fictitious name · tax ID · bylaws · revenue · trust · equity · limited liability · privately held · shareholder · registered · growth
business entitysole proprietor
Single owner of business
individual · natural person · private person · freelancer · independent contractor
business entitynonprofit organization
Mission-focused entity, not profit-seeking
charity · government agency · public institution · non-governmental organization · public body
business entityunderground economy
Unreported commercial activity