Business Tips and Marketing Advices

Natural Person is a human person exercising rights and fulfill personal obligations.

Create a company or business as Natural Person, means that we (that we became the Natural Person), as creators and owners of the company, assume all rights and all obligations thereof.

Assume all the obligations means that we assume all liability and guarantee with all the assets we own (all goods that are on our behalf), the obligations the company may incur.

For example, if the company goes bankrupt and is forced to pay a debt, it is we, personally, who will be forced to respond to this claim and, if not done, our personal assets could be seized.

This (having “unlimited liability”) is the main feature and main disadvantage of creating a company or business as Natural Person.

Let’s look at other advantages and disadvantages:

Advantages
* To easily create, no further proceedings are required or requirements.
* Not required to carry and present as many records.
* Easily settled.
* The ownership and management control is vested in one person.
* You can enlarge or reduce the assets of the company without any restrictions.

Disadvantages
* All responsibility and debt assumed by the owner (Natural Person), with all capital owned.
* Limited availability of capital, because capital is produced only by the owner.
* The lack of continuity in case of incapacity of the owner.

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