Draw Company Structure with Organization Charting Software

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Posted by James Freeman |
Company Structure Diagram is essential information for investors and financial institutions.

Company Structure

Company Structure Diagram is essential information for investors and financial institutions. It gives information about how your company is organized and who is in charge. This is useful for relaying who accomplishes what tasks for the business, the business knowledge of the management team and the qualifications of the board. If you are putting together a business plan for a small business, this step may seem unnecessary, but it's important to show that you've carefully thought out the business and know who's in charge.

Company Structure

Free Download Organizational Chart Software and View All Examples

One of the best ways to demonstrate your company's structure is by selecting a business structure, and creating an organization chart to accompany it. The chart should be accompanied with a narrative describing the chart's structure, the responsibility of each person, and their qualifications.

Organization Charting Software

Organization Charting Software

Edraw Organizational chart is a powerful but easy-to-use organization structure drawing software which makes it easy to create professional-looking organizational structures based on pre-drawn organizational chart templates and examples - with no drawing required.

Ideal for smaller businesses who want to chart up to 2000 employees, Edraw helps you visualize your organization so you can make wise business decisions.

How to Chart the Company Structure

Businesses are usually structured on one of the three basic business structures: Sole Proprietorship, Partnership or a Corporation.

A sole proprietorship is an unincorporated business owned only by one person. It's the most simple and basic form of business organization. Without you, the owner, the business wouldn't exist. As the sole business owner, you take on all the responsibility, liabilities and risks. Of course, you also completely benefit from the profits.

A partnership is a business established by two or more people. Each person contributes something to the business - whether it's money, labor, skill, or property. In turn, the partners share the profits along the lines of the investment input.

Corporations are businesses where the shareholders transfer money and/or property for the company's capital stock. Profits of the corporation are distributed according to investment in the capital stock. A corporation can take some of the same deductions as a sole proprietorship, and also offers special tax deductions that make corporations attractive.

Usually you define your business structure in the executive summary. Your organizational summary includes an organizational chart. You'll show each person in the organization, the reporting structure of each person in the company. In the narrative you detail the responsibilities of each person. You should include: names of the owners, percentage of ownership and extent of involvement in the company.

If any of these individuals are involved in the management of the company, also include their resumes that list: Company responsibilities, Education, Experience and skills, Qualified achievements, Prior employment and Compensation.

List all the other employees of the company, the positions they hold and their responsibility.

If you have multiple locations, show the structure. Where is the corporate office located? Are there satellite locations, do you plan to expand within the city, state, nation or internationally?

The business structure section of the business plan gives basic information about your company and the management staff. It's an essential part of the plan, because it shows the care and thought you've put into your business and how it is structured.

Organization Structure Examples

Some examples of structures would be, functional and hierarchical. You should develop a strategy to start organizing your business, company, or group. How do you want it to run? From the top down, or by a matrix of different people, such as a management department is a big decision. Once you have a few options picked out, you can decide which option will be optimal to produce the results you desire. See the following sample organization structure.

Organization Structure Example

Use Edraw to Draw Organization Structure

The first step is determining what type of organization structure you would like to design and implement. Then the easiest way to draw a new org chart is bychoosing a organizational chart templates.
Simply choose New from the File menu, then select from the vast array of flowchart examples available at your fingertips under the Samples Pane.

Draw Organization Structure

Templates and examples listed under this category have all the special settings for grid snaps, line- and shape-linking, wizards, and other crucial attributes that make it easy to draw a flowchart.
You can start with an example that closely resembles your project or you can start with a blank page by choosing New Document.
To choose a template, double-click on it.

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