business entity concept

Definition

The idea that a corporation should be considered to be an individual entity separate from the individuals who make up the corporation, or those who finance it. The business entity concept introduces a separation between the responsibilities of companies and those of affiliated individuals, and also provides continuity beyond the involvement of any one affiliate.

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You should try and come up with a good business entity concept that will make greater profits for your company.

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The business entity concept ensured that they created a seperate structure so they wouldnt be responsible for any sort of issues with the company.

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Victoria knew that a business entity concept was going to allow her to trust her board of directors more because they would be able to chart a new direction while listening to consumer concerns.

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