A unitary enterprise is a certain organization that does not have ownership of the property that was assigned to it by the owner. It follows from this that it is also not possible to separate this property at the discretion of the organization.
These signs of the standard definition of an enterprise, which is called unitary, distinguish it from any other form of organization.
The prevalence of unitary enterprises is an indicator of the long dominance of public administration in market activity. This is because the state does not want to lose its share in a certain part of economic relations. Unitary enterprises just can contribute to this, since only municipal and state enterprises can have such a form .
The constituent document when creating any company or organization is the charter of the enterprise, which is approved by the bodies that made the decision to create it.
In particular, the charter of an enterprise must necessarily contain detailed information about what authorized capital it possesses. There is also a need to indicate the order and sources of formation of this fund.
The charter of a unitary enterprise must necessarily fully comply with the approximate charter approved by the central government bodies, which is developed for state enterprises.
For an organization that is not unitary, there are also requirements for how to form this constituent document.
Charter of the enterprise and its components
The following data shall be entered into the charter of the enterprise:
• owner, location and name of the enterprise being created;
• the procedure for the formation and composition of enterprise management bodies;
• the purpose of the activity and the subject on which it is aimed;
• powers of the election bodies of the labor collective (if any);
• basic conditions for the termination of business or reorganization of the enterprise;
• the procedure for the formation and reorganization of the property base.
The charter of the enterprise consists of several components:
1) information on the provisions, the main goals, the direction of activity;
2) data on rights to property and authorized capital;
3) information on foreign economic activity;
4) data on economic and production activities;
5) information about the management of the labor collective and the enterprise as a whole;
6) data on the distribution of profits;
7) information about the process of remuneration and the organization of other payments;
8) data on the procedure for liquidation of the enterprise.
The charter of the enterprise is that document which should fully regulate the organization’s activities in relation to any issues arising in the process of its functioning. The entire responsibility for the correctness of its design and further use in the activities is borne by the persons who sign it. They are usually the founding director or constituent assembly, which includes several founders of the enterprise that is being created.
A correctly written document can save the organization’s management from resolving various unpleasant situations.