How to distribute the profits ?

How to distribute the profits ?

For anybody in our time it is no secret that the main purpose of the work of any of the now existing businesses is profit.This is the final result of any activity.But how to distribute the profits?Some of the purposes for which the net income is spent, which remains at the disposal of economic entities as a result of their activity, determined by the charter.But as a rule, the company's profit distribution is conditional, that is, at its sole discretion leadership.And in turn, this discretion must be carried out if not with innings of professional analysts in the field of Finance and Economy, at least according to present today the fundamental rules that are freely available and open for almost everyone.

Maybe, the following data may seem to some dry and useless.Indeed, the great number of modern "business" all on their own doing and it seemed to have time.But this success is only possible to a small business.Businesses and companies with more or less significant turnover of production, or the sal

es, are obliged to spend a considerable proportion of their funds and efforts on economic planning, financial analysis.Without this work of medium and large businesses absolutely nothing impossible with you our progressive age.Because in order to achieve these goals and created whole departments staffs.And believe me, that these workers get their sometimes a lot of money is not wasted.

Once a year, six months, or the quarterly, any society or company has the right to decide on how to distribute its net profit among all actors.Under optimum conditions, the general meeting of the society must make a decision, which defines the procedure for the distribution of profits, as well as specify its size.

Dates for payment

After distribution, the profit is required to be paid within a period that does not exceed sixty calendar days.Decision or the articles of association may also provide other terms for payment.In the case where a statute introduced some changes regarding the timing of payment of income, they have to be agreed unanimously by all without exception participants.


Formation and distribution of profits among all actors of society can not be carried out in some selected cases.This occurs when the partial payment of the authorized capital of the company or the non-payment of a member or members who resigned from the company, the real value of the share.Also, the distribution is prohibited if the Company complies with all the signs insolvent at the time of distribution.More simply, such conditions can be called bankruptcy.

can not distribute profits and also for non-compliance of the reserve fund and the size of the authorized capital of Company's net assets at the time of or after the given distribution.All this - the prohibitions established by the current legislation.Do not confuse them with a kind of "helpful hints".

Some nuances

distribution and use of profit of the enterprise have to be directed into the first on the budgetary payments, as well as extra-budgetary funds, and only then to create the accumulation fund and the consumption fund, and only eventually for other purposes, or elsesome charity.

funds above this accumulation fund, as a rule, go to the reconstruction of the equipment that is already available, as well as for the purchase of new and repayment of investments (loans), the maintenance of social and cultural spheres, and the like.Discussed fund is one of the most striking evidence of the fact that a particular company has already has some good features in the near future to increase its material base.

Consumer Fund is a definite material means that economic entities directed to the material stimulation of the employees.This fund is spent on additional charges, as well as the possibility of an annual premium for travel expenses for employees, encouraging them, issuance of allowances, meals, additional payment at the time of retirements, as well as the payment of the respective interest (dividend) on existing shares.

Net income derived by an enterprise for a certain time period, as a rule, should be in the reserve fund.It is a fund that is used for all kinds of payments on bonds and preferred shares.This is provided for the case when the economic agents do not have enough material resources.In addition, using the funds allocated to the reserve fund, enterprise and community repaying their payables in the case, when suddenly there comes their complete bankruptcy.

Any well-functioning enterprises, owners or shareholders is firmly focused on the development and growth of the business, annual distribution plan carried out in advance, as well as the payment of profit potential.To this difficult task was the real needs analysis based on the actual use of the funds, and in addition, any remnants of the state at the start of a specified period.More of all commercial structures that exist at the present time, spend their income on consumption forming shop and the accumulation fund of funds, the essence of which we discussed above.In each of these the important assets, the successful operation of the enterprise, without which today can not be imagined, according to statistics the average drop of about 40-and 30 percent of the total net income, respectively.

Already one of the largest employers and managers have not doubt that the proper distribution of the profit to a large extent is a key to its further growth.Accordingly, otherwise, the results are the opposite back.

Let us hope that our reading of the material will help you in proper allocation of profits of the enterprise, and then in the successful conduct of business, and as a result of increasing the profitability of their personal affairs.In addition to the operating business, the entire material may be useful for beginners as well as those who are just planning their own businesses.For each of the current millionaires and billionaires once started.