Ownership Structure

Ownership structure refers to how a company is divided among its owners or shareholders. It outlines who has ownership rights and responsibilities, including control over decisions and sharing in profits or losses. Ownership can range from sole proprietorships, where one person owns everything, to corporations, where ownership is shared among many shareholders. Different ownership structures affect how a company operates, its governance, and its ability to raise capital. Understanding ownership structure is essential for grasping how businesses function and make decisions.