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What is individual entrepreneurship Printable version

Last update: 17.07.2019

What is individual entrepreneurship, who is the subject of IE and what are the conditions for the functioning of individual entrepreneurship, read on.  

Individual entrepreneurship is an independent, initiative activity of citizens of the Republic of Kazakhstan, oralmans, aimed at obtaining a net income, based on the property of individuals themselves and carried out on behalf of individuals, for their risk and under their property responsibility.

Other individuals are prohibited from carrying out individual entrepreneurship.

Individual entrepreneurship is carried out in the form of:

  • personal;
  • joint entrepreneurship.

Personal entrepreneurship

Personal entrepreneurship is carried out by one individual independently on the basis of property owned by him on the right of ownership, and also by virtue of another right permitting the use and (or) disposal of property.

To carry out personal entrepreneurship by a natural person who is married, consent of the spouse is not required.

In cases where the physical person uses the common property of the spouses for personal entrepreneurship, the notarized consent of the other spouse for such use is required unless otherwise provided by laws or a marriage contract or other agreement between the spouses.

Personal entrepreneurship can be implemented using the form of farming.

Joint entrepreneurship

Joint entrepreneurship is carried out by a group of individuals (individual entrepreneurs) on the basis of property owned by them on the right of common ownership, and also by virtue of another right that allows joint use and (or) disposal of property.

Forms of joint entrepreneurship     

  • entrepreneurship of spouses, carried out on the basis of common joint property of spouses;
  • family business, carried out on the basis of common joint ownership of the peasant farm or common joint ownership of the privatized dwelling;
  • a simple partnership in which private entrepreneurship is carried out on the basis of common shared ownership;
  • other forms in accordance with the laws of the Republic of Kazakhstan.

In the activity of the spouses' business in the business turnover on behalf of the spouses, one spouse is acting with the consent of the other spouse, which can be confirmed:

  • when registering an individual entrepreneur;
  • or expressed in writing and notarially certified in cases when the activity of an individual entrepreneur is carried out without state registration.     

In the absence of the consent of one of the spouses to the speech of the other spouse in the business turnover on their behalf, it is assumed that the spouse, acting in business turnover, carries out individual entrepreneurship in the form of personal entrepreneurship.

Individual entrepreneurship under their own name

Individual entrepreneur:

  • is engaged in entrepreneurial activity;
  • acquires and exercises rights and obligations under his own name.

Citizen, oralman, when making transactions related to his entrepreneurial activity, should indicate that he acts as an individual entrepreneur.

The absence of such an instruction does not relieve an individual entrepreneur of the risk and responsibility that an individual entrepreneur is liable for his obligations.    

When carrying out its activities, an individual entrepreneur is entitled to use personal business forms, seals, stamps, the texts of which must clearly indicate that the person is an individual entrepreneur.

An individual entrepreneur is entitled to use:

  • personal business forms
  • printing
  • stamps, the texts of which must clearly indicate that this person is an individual entrepreneur.    

State registration of individual entrepreneurs

Termination of the activities of an individual entrepreneur

 

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