companies are usually large company that is run by a small group of people. This small group of people, or control, which makes most of the major decisions, can hire and fire key employees as CEO and a large part of the shares in the company.

However, as the market changes, evolving, and businesses adapt to these changes, there will be more splintered type of classification for companies. There are three main types of classification categories for companies, including

· closely held company vs. Public Company

· Non-profit vs. Profits

· benefit Corporation vs. Non-reciprocal Benefit Corporation

public companies

Public businesses are companies that decide that they want their stock traded in public markets. This allows anyone to buy shares in the company and have input into what goes on with business. This makes more money and more diversity to flow into the company. While this may be good, if a company goes public before it is good enough, then no one will buy a share and the company can go under. There are risks to go public, but it’s a calculated risk.

Non-Profit Vs. Profit Corporations

Although it may be self explanatory, most profit-making organizations, there are some companies that function as non-profit organizations. However, just because a company is non-profit does not mean that there is not a lot of money flowing through the bank accounts of the company. To be a non-profit organization, companies can make as much money as it wants, as long as expenses and not the profit.

benefit Corporations

become business does not necessarily mean that the company is doing it to get more input from shareholders, but instead can be formed solely for the benefit of board member of the company. In this case, it is these few members of the company who own all the stocks and get all the benefits and profits.