DO U KNOW THE DIFFERENCE BETWEEN THE COMPANY, FIRM AND ORGANIZATION

SOME BOARD INTERVIEWS OFTEN ASKING QUESTION IS ABOUT FIRM, COMPANY AND ORGANIZATION


Firms : Mostly referred as Partnership firms are registered under Partnership Act and are owned by Partners morethan 1 and less than 20 in number. Firms are with business motive.
it usually denotes a business organisation where there are more than one member. Its usually a Partnership Firm..

Company: A word Company denotes a company as registered under the Companies Act (or if outside India, then registered according that law of the land)

Both has more than one member. But registering a company is mandatory while a firm need not be registered. Firm is rather an ambiguous broader term than that of Company which is a definite and specific term.

Organization: When two or more people get together and agree to coordinate their activities in order to achieve their common goals is called an organization.