People determined enough to become entrepreneurs today have varied option available for deciding the types of business structures they want to start a new business and choose the structure that is best for their new company.
There are significant benefits and certain drawbacks associated with each of the various types of legal entities that an entrepreneur can choose the ideal business structure for their company. But, body corporate is the best chosen for its legality and opportunities for expansion.
“A body which has been or is incorporated under the statute, having a common seal, working for a common objective, which has a perpetual succession and is a separate legal entity apart from the members constituting it,” is defined the body corporate. A corporation is owned by its shareholders, who in general meetings appoint body corporate management, also termed as Board of Directors.
Characteristics of Body Corporate:
- Unlimited Life- Inability of an employee or management personnel to function does not impact the continuous life of the corporation.
- Limited Liability of Shareholders- The liability of shareholders is limited to the extent the amount has been invested by them in the corporation.
- Separate Legal entity- The Corporation conducts business in its own name and has a separate management.
- The relative ease of transferring ownership rights- In a public corporation, shareholding can be easily transferred partially or wholly at the discretion of the holder. No prior approval or notices are required to be served in the event of a transfer of ownership.
- Professional management- The owner is not the body corporate manager. They vote for the Board of Directors that are then responsible for hiring managers.
- Ease of capital acquisition- Capital of a corporation is in the form of shares. Thus, capital can be acquired by simply purchasing its stock with no heavy unnecessary paper work required. This proves advantageous to a corporation as it attracts a larger pool of resources as there is no bar on the number of investors.
For establishing a successful smoothly governed body corporate; it is advisable for the promoters to take help of management services. Entrepreneurs and management of Gold coast body corporate organizations have huge opportunities growing in the region to flourish a business. The most impactful element of a corporation is its management and the employees of the organization.
A corporate structure has to carry out duties under government legislation in order to keep the business a going concern. Managers look after the administration and assist with keeping up with obligations implied on the corporation. There are varied Gold coast body corporate manager services available online and offline but it is always wise to choose the managers that are highly trained and experienced and promptly available for meetings of the organization.