My Proposed Start Up Men ' S Fashion Business

2425 WordsDec 22, 201410 Pages
TLAW 402 Assignment Man Zhang 20142026 John Taouk XX/ No. XX, Kensington st, SYDNEY NSW 2000 BY EMAIL Johntaouk@hotmail.com Dear Client, YOUR PROPOSED START UP MEN’S FASHION BUSINESS Following our previous conversation, as you mentioned that you are interested in forming a new business entity for a fashion business. I’m writing this letter, which designed to introduce you to some of the considerations regarding the type of entity that is best for your business. Besides, the director duties that you should be aware of are enclosed. We will need to discuss these considerations in details and to analyze how they relate to your particular business. This letter will provide you with background information and details of company…show more content…
SOLE TRADER (Sole proprietorships) It’s also called as sole proprietorships. A sole trader is regarded as simplest form of business structure. It is also relatively easy and inexpensive to start and maintain. It is a private company that regulated to be a company with less than 50 members who are not employees. Many sole traders choose to trade under their own name- for example, Stella McCartney. While other business structures require businesses to register a business name with Australian Securities and Investments Commission (ASIC). The business style could be your home-based business and contractors. Being as a sole trader, you are able to retain complete control over your business. As there is no division between business assets or personal assets, which includes your share of any assets jointly owned with another person (such as your house or car). Your liability is unlimited which means that personal assets can be liable for any business debts. The advantages of sole trader includes: - Simple set up and operation - You retain complete control of your assets and business decisions. - Fewer reporting requirements - Any losses incurred by your business activities, may be offset against
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