A company run by individuals is not called a private enterprise. Private enterprises are enterprises run by individuals, also called private enterprises. A limited company refers to a company whose shareholders are liable to the company to the extent of their subscribed capital contribution, and the company is liable to its debts with all its assets, also known as a limited liability company. At the same time, private enterprises can be limited liability companies with different classification methods. However, limited companies and private enterprises need to fully understand the composition of the company before registering it because of the different nature of the company and the different taxpayers and beneficiaries.
One-person limited liability company, referred to as one-person company for short, is a limited liability company invested and established by natural persons or legal persons. Compared with sole proprietorship enterprises, although all investors are one person, there are fundamental differences between them. One-man company is a legal person enterprise and has its own independent legal person property. The property of the company is strictly separated from the personal property of the investor, and the investor is liable to the company to the extent of the subscribed capital contribution.
Shareholders meet the quorum; A one-person limited liability company is established by natural person shareholders or corporate shareholders. Articles of association formulated by shareholders; There is a company residence.
I hope the above content can help you. If in doubt, please consult a professional lawyer.
Legal basis:
Article 2 of the Regulations of People's Republic of China (PRC) Municipality on the Administration of Enterprise Legal Person Registration.
The following enterprises with legal person qualifications shall register as legal persons in accordance with the provisions of these Regulations:
(1) Enterprises owned by the whole people;
(2) Enterprises under collective ownership;
(3) Joint ventures;
(4) Chinese-foreign equity joint ventures, Chinese-foreign cooperative ventures and foreign-funded enterprises established within the territory of People's Republic of China (PRC);
(5) private enterprises;
(six) other enterprises that need to be registered as legal persons according to law.
Article 7
An entity applying for registration as an enterprise legal person shall meet the following conditions:
(1) Name, organization and articles of association;
(2) Fixed business premises and necessary facilities;
(3) Having funds and the number of employees that meet the requirements of the state and are commensurate with the scale of production, operation and service;
(4) Being able to bear civil liability independently;
(5) The business scope conforms to the provisions of national laws, regulations and policies.
Article 17 If an enterprise as a legal person changes its name, domicile, business place, legal representative, economic nature, business scope, mode of operation, registered capital and term of operation, or adds or cancels branches, it shall apply for registration of change.