Confusion about words causes real decisions to go wrong: a founder asks for a branch and means a subsidiary, or assumes a director is an owner. This glossary fixes the meaning of the terms you will meet while choosing a structure. The definitions are general; how any term works in a given country is a legal question.
Read the terms before talking to any provider. If a provider uses a word differently, ask them to define it in writing. Costly misunderstandings can arise between people using the same word for different things.
Definitions here are deliberately general. Local law can add detail or differences.
A legal entity separate from its owners, which can hold contracts and assets in its own name.
A separate legal entity owned by another company, usually called the parent.
Not a separate entity: it is part of the foreign company that opened it, so that company stays responsible.
A company whose main role is to own shares in other companies.
An owner of shares, who benefits from the company and typically votes on major matters.
Someone who runs the company and carries duties to it. A director need not be an owner.
The real person who ultimately owns or controls a company, even through other entities.
A person allowed to sign for the company, for instance on a bank account.
The official address on record, which may differ from where work is done.
The extent to which real activity, people and decisions sit where the company is based.
A person named on a record on behalf of the true owner. Ask what duties and risks this creates.
Where a person or company is treated as based for legal purposes, which is a legal question per country.
This is business and structuring analysis, not legal, tax or investment advice. Where a legal or tax opinion is needed, we say so and point you to a licensed adviser.
They are plain-language descriptions of general concepts, not legal definitions for any jurisdiction.
Branch versus subsidiary, and director versus owner.
To a licensed professional in the country concerned.
No obligation. We read your request and reply with a straight answer.
Describe your plan and your constraints. We reply with what we would look at first.
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