services. There are six types of business structures under Australian Law, including associations, joint venture, trust, sole trader, partnership and companies. The report briefly explains the reasons for abandoning associations, trust and joint venture and focuses on the advantages and disadvantages of applying sole trader, partnership and companies. Overall, the report provides the best business structure to Sheldon. Associations, joint venture, trust Associations are the business structure
Words: 1511 - Pages: 7
Question 1 Introduction to Companies King Kong is a very successful large banana wholesale business owned by Mr Ken Kong. The price of Bananas significantly increased in the last financial year and as a result Mr Kong earned more than 20 million dollars in the last financial year. His accountant suggested that he reconsider his business structure and advised him to incorporate. Although his accountant tried to explain the differences between a proprietary and public company, and the different types
Words: 2240 - Pages: 9
partnership. If one partner signs a contract on behalf of the partnership, the general partnership and each partner are responsible for that contract. The shared ownership concept that characterizes a business partnership gives it certain distinct advantages and disadvantages. Partnerships are relatively easy to establish; however time should be invested in developing the partnership agreement. In a partnership agreement, the following arrangements, among others, should be spelled out: 1. How the
Words: 4972 - Pages: 20
Contents Introduction 2 Private company limited by shares 4 Private company limited by guarantee 5 Private unlimited company 6 Memorandum of Association 7 Article of Association 9 Memorandum and Articles of Association: 10 Memorandum and Articles of Association Form 10: 10 Memorandum and Articles of Association Form 12: 10 Memorandum and Articles of Association Advantages: 11 Memorandum and Articles of Association Disadvantages: 11 Dissolving ANNHANNY 11 What
Words: 4518 - Pages: 19
after paying the taxes. An advantage of being a sole trader is that you are fully in charge which means that they don’t have consult between anyone else. Another advantage is that the wage bill will usually be low, because there a few or no employees. A disadvantage of being a sole trader is that Sole traders often work long hours and find it difficult to take holidays, or time off if they are ill. Also another disadvantage is that developing the business is also limited by the amount of capital
Words: 467 - Pages: 2
) Sector & Ownership The private sector is the share of a country's economic system that is operated by individuals, partnerships, franchises and companies, rather than the government. Most private sector organisations are in the intention of making profit. The section of the economy under switches the government which is known as the public sector. Charities and non-profit organisations are sometimes considered to make up a third section, known as the volunteer sector. However, some organisations
Words: 2079 - Pages: 9
AFX9003: Accounting Assignment 1 PART A There are three options for Christina and David in terms of selecting a business structure. These are sole proprietor, partnership and company. Option 1: Sole proprietor A sole propriety is an option for the start-up whereby one individual of the pair would control and manage the business. For example, David starts up, controls and manages the business and Christina is merely employed by David. The registration requirements of a sole proprietor would include
Words: 2328 - Pages: 10
business earns revenue by selling a product or a service Capital: money used by business to pay for plant, machinery, buildings etc enable a business to begin or continue in business What is Business? * Part-time cleaner ,multi-national companies, Nationalised industries * Share common characteristics * Aims and objectives * Use resources * A process for decision making * Accountable * Subjects to external constraints Definitions * Business Organised effort
Words: 2457 - Pages: 10
Information Pack (Eddie Rockets) Sole Trader, Partnerships, Franchises and Limited Companies are all types of organisations. A short definition of an organisation is a social unit of people that is structured and managed to meet a need or to pursue collective goals. All organisations have a management structure that determines relationships between the different activities and the members, and subdivides and assigns roles, responsibilities, and authority to carry out different tasks. Organizations
Words: 1368 - Pages: 6
Perrigo Dr. Randy Baker Graduate Finance Policy 03 December 2014 Master Limited Partnerships Executive Summary Investment vehicles are available in many different forms. They are used to earn money over a certain period of time. Investors have to make decisions quickly before the investment option is no longer available. The focus of this paper is the investment option of Master Limited Partnerships. Master Limited Partnerships are a type of investment vehicle that has been around since
Words: 5342 - Pages: 22
