Explain the Various Forms of the Juridical Organizations?

Forms of the Juridical Organizations
1. Sole trading concern or the proprietorship
There are a lot of the individuals who carry on their business in their name, there is a certain law according to which these businesses are considered as the individuals or the persons.

When these persons deal with all the contracts and its various consequences, these persons possess certain rights.

The main thing that is involved in the business is the exchange of the goods and the various services and all this is followed with its completion with the help of the money or any other type of the settlement. In accordance to the judicial system, the seller, the buyer and the user of the goods and the services get complete protection with the help of the law. The individuals always have the option of resorting to the law for a fair settlement. If in any case, the employees of this type of the proprietor do anything that is against the law, the proprietor is then forced to take the responsibility on his name for any such acts that are performed.

Making or signing any type of the contract of selling the goods or the services and its satisfaction in terms of the money and the money’s worth involves the social relations. The individuals in any wrong do get complete protection in accordance to the act. The various registrations of the different types are needed in organizing the business. So it can be said that it is very necessary to get the approval from the respective acts like the companies under Indian companies act, cooperatives under the cooperatives societies act etc.

2. Partnerships –

a. The Partnerships are governed with the help of the mutual contract between the partners.
b. The partners have an unlimited liability for meeting the obligations in the business individually.
c. In a scenario, where two or more individuals are willing to do the business in partnership jointly, on the legal basis these are responsible as individuals jointly and severally.
d. The partnerships can also be registered as the limited liability partnerships in order to give them the freedom from the unlimited liability, but this type of the registration is present in some countries only.

3. Joint stock companies with the limited liability –

a. The limited liability to all the share holders in the ownership of the business can be obtained with the help of this type of the organization.
b. The shares need to be collected and this collection of the shares is referred to as the stock of the shares.
c. Those who contribute to the shares possess a limited liability to the extent of the face value of a share.
d. When the full value of the share is not paid, the liability is limited to only paying the full value but at any level is not at all responsible to the business losses beyond this limit.
e. With the help of this type of the organization, people can contribute to the business without assuming the liability to the business losses.
f. A very big capital can be raised from many people.
g. In private limited companies, this number is generally restricted in terms of the shareholders.
h. The form, a choice under the existing acts in the operation in any country is to be made with the help of the people, who are responsible for the organization of the activity.

4. Co – operatives –

a. In the beginning, the cooperatives acted as a self help group where the people came together in a mutually beneficial activity.
b. In this type of the society, system of one vote per one person acts as the base.
c. The formation of the society is guided by the number of the people.

5. Societies and the Trusts –

a. Under this type of the organization, one can register an organization as a charitable organization or a social organization with no distribution of the profit.
b. The number of the societies is registered for the educational and the charitable purposes.
c. The members pay subscriptions in order to collect the funds for the society.
d. No member can take the share of the profit or the income of the organization so registered.