Commanditaire Vennotschaap (CV) is a form of business entity formed and owned by two or more people to achieve a common goal with the degree of involvement varies among its members. One party in the CV manage the business actively involving personal property and other parties include only capital without having to involve the private property when the financial crisis. Active care of a company called active ally, and that just put up the capital called passive allies.
Characteristics and Properties:
- Difficult to attract capital that has been deposited
- Big capital since it was established many
- Easy to get credit loan
- There is an active member who has unlimited liability and there is a passive waiting for the benefits
- Relatively easy to set up and relatively cheaper than setting up a limited liability company
- It only needs to be registered at the local court of the domicile of CV and further requirement of administration of some documents
Firm (Firma) is a form of business partnership consisting of two or more people with common names whose responsibilities are not limited to evenly split on each owner.
Characteristics and Properties:
- If there are debts unpaid, then each owner must pay the personal property.
- Each member of the firm have the right to be a leader
- A member is not entitled to enter a new member without the permission of the other members.
- Membership attached firm and valid for life
- A member has the right to dissolve the firm
- Establishment does not require deed
- Easy to get business loans