Forming capital and intellectual investments

Human capital, the value that the employees of a business provide through the application of skills, know-how and expertise.^[13] Human capital is an organization’s combined human capability for solving business problems and exploiting its Intellectual Property. Human capital is inherent in people and cannot be owned by an organization. Therefore, human capital can leave an organization when people leave, and if management has failed to provide a setting where others can pick up their know-how. Human capital also encompasses how effectively an organization uses its people resources as measured by creativity and Innovation.

Structural capital, the supportive non-physical infrastructure, processes and databases of the organisation that enable human capital to function.^[13] Structural capital includes processes, patents, and trademarks, as well as the organization’s image, organization, information system, and proprietary software and databases. Because of its diverse components, structural capital can be classified further into organization, process and innovation capital. Organizational capital includes the organization philosophy and systems for leveraging the organization’s capability. Process capital includes the techniques, procedures, and programs that implement and enhance the delivery of goods and services. Innovation capital includes intellectual property such as patents,trademarks and copyrights, and intangible assets.^[14] Intellectual properties are protected commercial rights such as patents, trade secrets, copyrights and trademarks. Intangible assets are all of the other talents and theory by which an organization is run.

Relational capital, consisting of such elements as customer relationships, supplier relationships, trademarks and trade names (which have value only by virtue of customer relationships) licences, and franchises. The notion that customer capital is separate from human and structural capital indicates its central importance to an organization’s worth. The value of the relationships a business maintains with its customers and suppliers is also referred as goodwill, but often poorly booked in corporate accounts, because of accounting rules.

Intellectual capital is the intangible value of a business, covering its people (human capital), the value inherent in its relationships (Relational capital), and everything that is left when the employees go home^[1](Structural capital), of which Intellectual property (IP) is but one component It is the sum of everything everybody in a company knows that gives it a competitive edge

The modern understanding of entrepreneurial law

Entrepreneurial activities of citizens

Individuals shall have the right to engage in entrepreneurial activities without creating legal entities except for the cases provided for by laws.

State registration of individual entrepreneurs shall consist of registration as individual entrepreneur.

Legal regime of commercial legal entities shall apply to entrepreneurial activities of citizens carried out by them without creating legal entity.

Obligatory state registration shall be extended for the following individual entrepreneurs: 1) those who use a labor of workers on a permanent basis; or 2) those who have aggregate annual income in the amount of 117,024.00 tenge.

If individual entrepreneur carries out an activity which is subject of licensing then he shall obtain the license for such activity. Bankruptcy of individual entrepreneur

- Insolvency of individual entrepreneur shall be a basis for recognition of him as a bankrupt.

- Turn of satisfaction of the creditors` claims from the property of bankrupted individual entrepreneur:

1) Claims associated with payments of alimony and with compensation for harm caused to life and health;

2) Claims related to labor payments, debts on social deductions to the state fund of social insurance and payments of remunerations under the copyright agreements;

3) Claims secured by agreements for the pledge of property of individual entrepreneur;

4) Debts related to taxes and other obligatory payments to the budget;

5) Claims of other creditors.