The joint Hindu family business is an organisation which is owned by co-owners or co-parceners of an estate belonging to a Hindu family which has not yet been partitioned.  If the business set up by a person is carried on by the male members of his family after his death it is a case of Joint Hindu Family Business.  It comes into existence by the operation of Law.  Such a business can exist only under the Mitakshara law which governs Hindu Succession in all parts of India except Bengal and Assam where Dayabhaga system of inheritance is followed.
         Under the Mitakshara system, JHF comprises those who hold co-parcenary interest in it. Such interest belongs to three successive generations in the male line who can inherit an interest in the ancestral property immediately on their birth.

            After the enactment of the Hindu Succession Act of 1956, a female relative of a deceased male co-parcener will have a share in the co-parcenary interest after the death of the co-parcener.
The ancestral property is that which is inherited by a Hindu from his father, grand father or great grand father. Likewise, a son, his son and his son’s son become members of the JHF with co-parcenary interests. This business is usually managed by the father or the senior member of the family. He is called Karta or Manager.
Features:
1. The Karta has control over the income and expenditure of the family and
He is the custodian of the surplus.                                                                                                             
2. Other members of the family have no right of participation in the management.
3. Other members can not question the authority of the Karta.
4. The only remedy available to them is to get the family dissolved by mutual   
agreement.
5. The Karta has to compensate the other co-parceners to the extent of their share
In the joint property if he has misappropriated the funds of the business.
6. The Karta can borrow funds for conducting the business.
7. The liability of the Karta is unlimited.
8. Other members are liable to the extent of their share in the business.
9. A JHF can enter into partnership with others. But outsiders can not become
members of the JHF.
10. The death of a member does not dissolve the business.
The male adult members can demand partition of the property of the JHF.
On separation, co-parceners have no right of asking for previous accounts.