In my life, I will see the news that many celebrities and stars have set up studios, such as Wang's studio, Fan Bingbing's studio, Li XX's studio ... Of course, apart from the studio, they also have their own companies, but after tax evasion in Ye Fan, many stars canceled a lot. Not only stars can own studios, but ordinary mass entrepreneurs can also register studios. So, what's the difference between a studio and a company?

Studio generally refers to an organization established by several people or one person, which is a space for creative production and work. Many studios are collectives that cooperate for the same ideal, desire and interest.

A company refers to an enterprise legal person generally established according to law, with independent legal person property and for profit.

However, it should be noted that most studios have the prototype of the company model.

1. The company is a barrier against personal risks and one of the greatest inventions of the 20th century. Individuals are only responsible for the company to the extent of "capital contribution", which is the capital you have invested or promised in the company, usually registered capital. In the course of the company's operation, as long as you don't make false investments, withdraw investments or misappropriate funds, your personal property will not be recovered if the company unfortunately faces insolvency or even bankruptcy.

Two, the studio is generally self-employed or partnership, that is, individuals need to bear unlimited liability for debts until they are fully paid off. There is no concept of bankruptcy, and individuals are not allowed to go bankrupt in China.

Finally, in terms of taxation, the company has one more tax than the partnership, that is, "enterprise income tax". You need to pay personal income tax for dividends. Partnership enterprises do not have to pay "enterprise income tax", only partners pay personal income tax.

Different organizational forms: studios generally belong to self-employed or sole proprietorship enterprises, and assume unlimited responsibilities; The company shall bear limited liability with the capital invested by investors;

Tax registration is different: because the financial system and accounting are not perfect, the studio generally approves the tax amount and can not keep accounts; The company requires a sound financial system and accounting system, and requires the establishment of sound accounts. Generally, the corresponding taxes are paid according to the normal turnover or sales.

Having said that, you can understand why those stars set up their own studios with high freedom and little responsibility.