Business Entity Structure is a term used to describe the organizational structure of a business organization, including its purpose and the relationships between different kinds of entities that make up the business organization. It defines the roles, responsibilities and rights of all parties involved in the company such as shareholders, officers, employees or directors. A well-defined Business Entity Structure allows an organization to operate efficiently and effectively while mitigating certain legal liabilities. It provides clarity to stakeholders regarding the roles and functions of each party in the organization. Additionally, it helps optimize decision-making and communication among stakeholders, ensuring that all aspects of the organization work together in harmony.