Wealth Dictionary
Business Entity
In addition to the commonly recognized legal structures like sole proprietorship, partnership, corporation, and limited liability company (LLC), there are other forms of business entities that exist to accommodate specific needs and circumstances. For instance, a cooperative is a business entity owned and operated by a group of individuals for their mutual benefit.
Trusts, although primarily associated with estate planning, can also function as business entities, particularly in managing assets and investments. Furthermore, some jurisdictions recognize hybrid entities that combine characteristics of different structures, providing flexibility in governance and liability management. Each type of business entity carries distinct advantages and disadvantages, and the choice of structure often depends on factors such as liability protection, tax implications, and management preferences
