57 Chapter 3 Organization of Agribusiness Firms Mubashir Mehdi, Adnan Adeel and Burhan Ahmad * Abstract A variety of different organizational forms are observed in agribusinesses. Many of these are owned and controlled by one person as a proprietorship whereas some are owned by two or more people as a partnership. These forms of business are the simplest forms and allow their owners complete flexibility and autonomy. Owners of such businesses are personally liable for any debts or lawsuits against their business. Also, the longevity of the business is limited to the life of their owners. The company is relatively a new type of business organization which closely resembles a partnership but provides its members with limited liability and the opportunity to influence the longevity of the business. It is an organization created for the purpose of carrying on business because it is a legal entity, it can own property, sue or be sued and carry on business in its own name. Its owners are separate legal entities; thus their liability is limited to the amount of their investment in the firm. Cooperatives is another form of business organization which promote democratic style of management and promote the concepts of sharing resources and delegation to increase their viability and competitiveness. The life of corporation does not depend on how long its owners live. However, corporations generally must pay a special corporate profit tax and must regularly report their activities to federal and provincial governmental units. Joint venture is a legal organization governed by domestic and foreign companies to bring new technologies and business practices. Franchising is a strategic alliance between groups of people who have specific relationships and responsibilities with a common goal to dominate markets, i.e., to * Mubashir Mehdi # , Adnan Adeel and Burhan Ahmad Institute of Business Management Sciences, University of Agriculture, Faisalabad, Pakistan. # Corresponding author’s e-mail: mubashir_mehdi@hotmail.com Managing editors: Iqrar Ahmad Khan and Muhammad Farooq Editor: Abdul Ghafoor University of Agricutlure, Faisalabdad, Pakistan.