State and municipal unitary enterprises: features, advantages, disadvantages

What are state and municipal unitary enterprises? In the Russian legislation, in particular, in the Civil Code, there is a definition of this term. In accordance with it, state and municipal unitary enterprises are organizations created for the purpose of solving the main tasks of the state and making a profit, but they are not owners of the property assigned to them.

Only the founder himself is entitled to dispose of it. Unitary they are named because the property can not be divided into shares, shares, deposits and other parts. In the name of this subject there must certainly be an indication of the owner.

State and municipal unitary enterprises are divided into 2 types. The first is an organization based on the right of economic management. It should be noted that here include such unitary enterprises as municipal ones. They are created after the relevant decision is taken by an authorized state body or municipality.

The second kind is organizations based on the right of operational control. Can be based only on the decision of the government of the country. State and municipal unitary enterprises in this case have quite a specific position in the legal aspect. So, they are created with the purpose of rendering certain services, performance of works or production of any products, which is typical for commercial organizations. At the same time, the whole activity of the enterprise can be based on financing from the budget.

State (municipal) unitary enterprises. Features

First of all, this type of economic entities has special legal capacity. That is, they are created for the purpose of performing certain works, providing services or producing some products, which is a characteristic feature of commercial organizations. Nevertheless, state and municipal unitary enterprises are not at all restricted in their rights to carry out certain transactions. For example, they can lease free premises for rent (unless otherwise provided by the charter and other regulatory enactments).

Another peculiarity is that such economic entities are individual enterprises.

The third specific feature of this type of enterprise is related to the Civil Code. Particular attention is paid to terminology. In the case of such organizations, the definition of "enterprise" is a subject of civil rights, in other cases it is only an object of legal relations.

Among other things, they can claim special-purpose funding (including subsidies, subsidies, and subventions). It is carried out for execution of various programs. The advantage is given to those who have a social focus.

Hence follows the fourth feature. The charter of economic entities of a unitary type should include information on the direct owner of the property, sources of formation of the authorized capital and the procedure for its formation. It should be noted that the enterprise does not bear responsibility for the obligations of the owner, but it is responsible for the activities of the organization.

Management of unitary enterprises

Here there is a sole manager, and not a collegial body, as it happens in other cases. As a rule, this is the director. A person to this position is appointed by the owner or a special body with the appropriate authority.

Advantages and disadvantages of such a form of economic entities

Let us first consider the positive aspects of unitary enterprises. First, they are called to solve those issues that are relevant in society at a given time. Secondly, they are more stable (compared to other commercial enterprises). This is due to the fact that they, as a rule, function in industries whose profitability level is not of interest to private entrepreneurs, therefore, there is no competition. In addition, support from the state protects these entities from ruin. Another advantage is the timely payment of wages, predictability.

Now, a few words about the shortcomings.

First of all, unitary enterprises are less efficient from the economic point of view. Also, the constant level of wages leads to a decrease in its productivity, loss of interest on the part of employees, since there is no competent motivational component. Important is also the fact that these objects often use property in order to obtain personal benefits, theft, characterized by a high degree of bureaucracy.

So, we can say that it is expedient to create unitary enterprises only in those areas where the use of other forms is less effective.