Are you in a business where you and other partners are unsettled whether to register the business or not? You may also have begun a business that you are not sure whether to turn it to an officially registered entity. The truth is that you do not need to hesitate any more. Business registration will bring you many advantages that you may not be seeing at the moment, build your business confidence and improve your public image.
To begin, understand that a registered company is a corporation, that is, a separate legal entity distinct from its members. To be more precise, the debts and the contracts of a listed company are those of the business and not of the members. This benefit extends to the fact that unless the business is wound up, it has perpetual succession. This is simply means that it is not affected by death, bankruptcy, mental disorder or retirement of any of its members.
The property of a registered company belongs to and vested in the company, so that there is no change in the ownership of, or in the formal title to, the property on a change in the ownership of shares in the company. A listed business can therefore contract with its members and can sue and be sued on such contracts.
One of the most important things to note is that the number of people in a private registered company cannot exceed fifty persons but there is no limit on the number in a public one, but, except in cases such as certain partners are practicing professional men as accountants, solicitors, stockbrokers, agents, surveyors, actuaries and so on.