Classification of companies according to their magnitude

  

 By Raúl Gorrín.-    In the previous chapter, we talked about the classification of companies and we refer to the activity and the capital. Today we will mention how organizations are classified according to their size. So, we have that the companies can be small, medium or big, although it is usually differentiate between big companies and small and medium companies or SMEs. 

·         Small companies: whose capital, income and number of workers is small, with no more than 20 people working in them.

·         Micro-enterprises: they have capital, number of workers and income in personal amounts. They haven’t more than 10 employees.

·         Family enterprises: the family is the engine of the business.

     Another type of business classification is according to its legal form, which is done according to who owns the organization and the legal responsibility of its owners.

·         Individual companies: are constituted by a single person who responds to third ones with their assets with unlimited liability or up to the amount contributed to the company. 

·         Cooperatives and social economy companies: are formed by several people. These are companies of collective partnership and limited liability. 

·         They are anonymous societies, commanding societies and societies of simplified actions. 

     Another way to classify companies is according to their state range, which can be:

·         Nationals: when they carry out their activity in one country.

·         Multinationals: when they develop activities in several countries at the same time. These are usually big companies.

·         Regional: when they take their action in to a one area.

·         Local: the companies that are circumscribed to its locality.

     Similarly, companies can be known as:

·         Financial: they are classified by the amount of their capital.

·         The organizations that are classified according to the personnel.

·         Small companies: have less than 250 employees.

·         Medium companies: have between 250 and 1000 employees.

·         Big companies: have more than 1000 thousand workers.

     By sales, companies are ranked according to the amount of their sales in the market and finally, they can also be classified according to production and taking into account the degree of machining of production processes.

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