legal structure
How entities organize
Legal structure refers to the formal organizational framework under which an entity operates, determining its legal rights, obligations, and how it's treated for tax and liability purposes.
Businesses choose a legal structure—sole proprietorship, partnership, corporation, LLC—based on factors like ownership, liability protection, and taxation: The startup's legal structure made it attractive to investors.
The term also applies to how laws and regulations are organized within a jurisdiction.
- federal systemGovernment with layered jurisdictions
- constitutionInherent physical or structural makeup
- sole proprietorshipUnincorporated individual-owned business
- cooperativeJointly operated enterprise
- bylawsOrganization's internal regulations
corporation · articles of incorporation · corporate veil · limited liability · state law · nonprofit organization · trust · board of directors · partnership · holding company · international treaty · shareholder agreement · fiduciary duty · power of attorney · due diligence · lease agreement · chain of command · joint venture
- Firmographicsindustry, location, annual sales, headquarters, sector
- business entitiescorporation, LLC, sole proprietorship, partnership, company
- business taxestax returns, tax filing, tax deductions, deductions, taxable income
- medical partnershipsjoint venture, shared care
legal, structure, legally, legality, illegal, illegally, legalize, legalization, legislate