State and municipal unitary enterprises: characteristics, advantages, disadvantages

click fraud protection

What is the state and municipal unitary enterprises?Russian legislation, particularly the Civil Code, there is a definition of the term.According to him, the state and municipal unitary enterprises - organizations created to address the major problems of the state and make a profit, but not the owner of the property assigned to them.

dispose of them has the right to a direct founder.Unitary they are named because the property can not be divided into shares, shares, stocks and other parts.In the name of the entity must necessarily present an indication of the owner.

State and municipal unitary enterprises are divided into 2 types.The first - the organization, based on the right of business.It should be noted here that include unitary enterprises such as municipal.They are created after the decision by the authorized state body or municipality.

second type - the organization based on the operational management.It may be based only on the decision of the government of the country.State and municipal unitary enterprises in this case have a fairly specific position in the legal aspect.So, they are created in order to provide certain services, execution of works or production of a product, which is typical for commercial organizations.At the same time, all activities of the company can be based on funding from the budget.

state (municipal) unitary enterprises.Features

First of all, this kind of economic entities has a special standing.That is, they are created to perform certain work, provision of services or the production of certain products, which is a characteristic feature of business organizations.However, state and municipal unitary enterprises are not limited to the right to make those or other transactions.For example, they can take the free space for rent (unless otherwise provided by statute and other regulations).

Another feature is that these economic entities are individual enterprises.

third specific feature of the variety of companies linked to the Civil Code.Particular attention is paid to terminology.With regard to such organizations, the definition of "enterprise" is the subject of civil rights, in other cases - it is only the object relationships.

In addition, they can apply for targeted financing (these include subsidy payments, subsidies and subventions).It is carried out for a variety of programs.Preference is given to those who are socially oriented.

Hence the fourth feature.Charter business entities unitary type should include information on the direct owners of the property, sources of formation of the authorized capital and the manner of its formation.It should be noted that the company is not liable for the obligations of the owner, but he is responsible for the organization's activities.

management unitary enterprises

Here we have a sole manager, not a collegial body, as happens in other cases.Typically, this is the director.Rights for the position appointed by the owner or a special body with the appropriate powers.

advantages and disadvantages of this form of business entities

Let us first consider the positive aspects of the unitary enterprises.Firstly, they are designed to address those issues that are relevant in a society at a given time.Second, they are more stable (compared to other businesses).This is due to the fact that they tend to operate in industries where the level of profitability is not of interest to entrepreneurs, accordingly, there is no competition.In addition, support from the state protects the data subjects from ruin.Another advantage - the timely payment of wages, predictability.

Now, a few words about the shortcomings.

First of all, the unitary enterprises are less efficient from an economic point of view.Also, a constant level of wages leads to a decrease in its productivity, loss of interest on the part of employees, because there is no competent motivational component.Also important is also the fact that at these facilities often occurs in the use of property for personal gain, theft, a high degree of bureaucracy.

So, we can say that it is expedient to create a unitary enterprises only in those areas where the use of other forms of less efficient.