Other business structure options
Besides the most common business structures, the following options are also available:
- unlimited companies
- co-operative companies
- limited partnerships
- trusts
- charitable trusts
- incorporated societies
- industrial and provident societies
- friendly societies
- building societies
- credit unions.
These structures can offer different ways to run your business, depending on what you’re trying to achieve and who’s involved.
It’s worth exploring all your options and getting advice to find the structure that best fits your needs.
Understanding other business structures
There’s no one-size-fits-all when it comes to business structures. The right structure depends on how your business works and what you want to achieve.
Some structures are designed for shared ownership, protecting assets, or supporting community goals. Co-operatives are owned and controlled by their members, who benefit from the business together.
Trusts are managed by trustees for the benefit of others and are often used to hold and protect assets.
Incorporated societies are usually set up for groups with a shared interest, like sports clubs or community organisations, and must follow a set of rules agreed by their members.
Māori businesses may also choose structures like Māori trusts or incorporations, which reflect collective ownership and tikanga Māori.
Each structure has its own legal responsibilities, tax obligations, and reporting requirements.
Understanding how these structures work can help you choose the one that best fits your goals.
Closing down a business with a less common structure
If you're closing a business that uses a structure like a trust, co-operative, or incorporated society, the process can be different from winding up a sole trader or company.
You'll need to follow the rules that apply to your structure, including:
- settling debts
- distributing assets
- notifying the right government agencies.
Make sure you check your constitution or trust deed, and file final tax returns. You need to keep records for at least seven years.
Getting professional advice can help you meet your legal obligations and close your business properly.
What's next
Starting a business
Growing your business
Maintaining your business
Dealing with tough times
Selling, closing, or stepping away
Company
Partnership
Sole trader
Contractor
Social enterprise (doing business for good)