What are the advantages of a company as a legal person?

It not only contributes to the stability and development of enterprises, but also brings certain rights and interests protection to legal persons.

First, it is convenient for enterprise decision-making and management.

As a company legal person, it has the highest decision-making and management power, and can independently decide the company's business strategy, development direction and internal management system according to law. This kind of power enables legal persons to respond quickly when facing market changes and business challenges, so as to ensure the stable development of enterprises.

Second, enhance the reputation and image of the company.

Enterprise legal person represents the image and reputation of the enterprise, and its personal quality, ability and reputation will directly affect the image and reputation of the company. Therefore, becoming a company legal person will help to enhance the company's social recognition and enhance the competitiveness of enterprises.

Third, the protection of individual rights and interests.

As a company legal person, its legitimate rights and interests are strictly protected by law. In the process of enterprise management, the personal property of the legal person and the company property are independent of each other, which avoids the personal property loss caused by the business risk of the enterprise. In addition, legal persons can also enjoy the company's profit distribution, share transfer and other rights and interests according to law.

Four. Advantages of financing and investment

Becoming an enterprise legal person helps to improve the financing ability of enterprises, because legal persons have high credibility and repayment ability in the eyes of financial institutions. At the same time, legal persons also have a high degree of autonomy in investment decision-making, and can flexibly adjust investment strategies according to market demand and the actual situation of enterprises.

Verb (abbreviation of verb) assumes and disperses legal responsibility.

As an enterprise legal person, although it needs to bear certain legal responsibilities, compared with a sole proprietorship enterprise, an enterprise legal person can spread risks to shareholders through a limited liability system and reduce the risks borne by individuals.

To sum up:

Being a legal person will not only help the company's stability and development, enhance its reputation and image, but also bring certain rights and interests protection and financing and investment advantages to the legal person. At the same time, through the limited liability system, legal persons can reduce the risks borne by individuals to a certain extent.

Legal basis:

Company Law of the People's Republic of China

Article 3 provides that:

The company is an enterprise legal person, with independent legal person property and legal person property rights. The company is liable for its debts with all its property.

Shareholders of a limited liability company shall be liable to the company to the extent of their subscribed capital contribution; Shareholders of a joint stock limited company shall be liable to the company to the extent of the shares subscribed by them.

People's Republic of China (PRC) Civil Code

Article 6 1 stipulates that:

In accordance with the provisions of the law or the articles of association of the legal person, the person in charge of civil activities on behalf of the legal person is the legal representative of the legal person.

The legal consequences of the legal representative's civil activities in the name of a legal person shall be borne by the legal person.

The restriction of the legal representative's representation by the articles of association or the functions and powers of the legal person shall not be against the bona fide counterpart.