2.3 legal structure - social and govt enterprise

Types of Legal Business Structures

Overview of Business Structures

Businesses can be classified based on how they are legally structured and how they operate.

Social Enterprises

Definition: Businesses that aim to address community or environmental needs. They are set up with a formal legal structure, similar to regular businesses. The profits they make are used to support community or environmental goals.

Key Characteristics:

• Focus on social purposes.

• Combine business practices with social missions.

Government Business Enterprises (GBEs)

Definition: Businesses that are owned and managed by the government. They work like private companies but are focused on serving the public interest while still making a profit.

Key Characteristics:

• Funded and managed by the government.

• May provide essential public services or infrastructure while also being profitable.