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A business trust is one vital arm to the entire body of a running business. Also known as common law trusts, business trusts, such as grantor, simple, and complex trusts, give a trustee the authority to manage a beneficiary's interest in the business.
Massachusetts trusts (also known as common-law trusts, business trusts, or unincorporated business organizations) are a unique type of trust used by individuals to run a business outside the normal legal entities such as a corporation or partnership.
It's typically one individual serving as a trustee of a business trust. At the end of the trust's length, the business interests transfer to its beneficiaries. Business trusts are treated as corporations and may conduct business transactions just like individuals.
A Massachusetts Business Trust (MBT) is a legal trust set up for the purposes of business, but not necessarily one that is operated in the Commonwealth of Massachusetts. They may also be referred to as an unincorporated business organization or UBO.
A trust is an agreement that allows one party, known as a trustee, to hold, manage, and direct assets or property on behalf of another party, called the beneficiary. In a business trust, a trustee manages a business and conducts transactions for the benefit of its beneficiaries.