Asignmnt

Solo disponible en BuenasTareas
  • Páginas : 8 (1854 palabras )
  • Descarga(s) : 0
  • Publicado : 3 de mayo de 2010
Leer documento completo
Vista previa del texto
Index
Presentation…………………………………………………………………………1
Index………………………………………………………………………………….2
Summary……………………………………………………………………………..3
Introduction………………………………………………………………….……….3
Business entity……………………………………………………………………….4
Bank considerations………………………………………………………………….5
Financial services……………………………………………………………………..6
Sector of the business………………………………………………………………..6Conclusion……………………………………………………………………………..7
References………………………………………………………………………………8
Lindsey and Brian are a couple who want to start a business in the city of Canterbury in Kent, located in the South East of England, they want to establish a cafe tea room, Lindsey has experience with this type of business, because she was working for one for some years, both Brian and Lindsey has experience in differentareas that can help to business administration, Lindsey for example has a years of experience in retail business, Brian has commercial experience, they have the idea to give their personal savings for contributing to the business start, Lindsey be dedicated full time to the business while Brian will be working one day of the week on London.
This report has the purpose to help Lindsey and Brian,to make the best decision about what is the best entity option for their business, considering the advantages and disadvantages of each different entity, also the types of security that they can see, and they should consider if the business fail, and they not have money for pay the debts, , as well as the aspects of the financial services that are available, because they need to be informed formake the best choice, for them and this choice not affect in the future and in that way can help to them to have a success business.
Considering that both Brian and Lindsey, have knowledge in certain areas that may be helpful for management and business administration, as each of them are contributing to the initiation of this business, their private savings, which means a high risk, so they needto do a correct decision of which entity is best for them, because the amount they are contributing are not the same, the two options who presented to them are good but there have advantages and disadvantages, if they decided that your business is a partnership, the first require is for this entity is the trust between the partners, which in this case that assume exists because is a marriagewhich has the idea of starting a business, this type of entity is the easiest way to establish a business it does not involve a lot of requirements and a lot of money to start it, have total privacy because they not need make public its financial aspects; the responsibilities and the risk are share between the partners, can have more potential capital available which is very suitable for the partners,if in sometime they decide to leave the business it's easily to transferable but also this entity has disadvantages, the first to be considered, can be that at some point the partners no always will be agree with the decision on the management of the business, that can cause conflicts between the partners and sometimes the consequences will be not only to finish with the business also with therelationship with the person another that must be considered, as the most important disadvantage is that each partner is responsible for the debts and if the business fails, they lose not only the amount invested also the personal properties this would be a huge inconvenient, because they are a marriage so they not only could lose personal savings invested, but also the capital that they have forlive which means a big risk, reason for what they need to consider the option the limited company, because here they can be allowed to keep their business aspects completely separate from the personal aspects, the responsibilities for pay the debts that the company can generate, is limited to the amount that each shareholder agreed to contribute to the activity at first, this means a great...
tracking img