Associative Entities

Introduction This essay will be covering the sources of finance and the impacts which will occur when starting up a new business. This essay will be covering financial impacts within an organisation and also the advantages and disadvantages on source of finance. Also what source should the client use for their new business idea. Scenario A client wants to start a retail business selling handmade birthday cakes. The client will manufacture the cakes in house. The client also plans to sell the cakes

‘Lifting the corporate veil’ has been the topic of the legal arguments for many years. The corporate veil refers to a principle where a registered company has a separate personality from its shareholders. As a result, the shareholder was not liable for any liabilities that his company had obtained. However, in some severe circumstances, it is important that the separate identity must not be allowed to use as a protection to wrongful act. In some situation, the corporate veil can provide harmful

Task 1. Organizational Purposes of Business We live in times which involve big levels of competition in the business section and in order for a company to survive and acquire bigger profits in the market it must stick with the always changing laws, demands, interests and tendencies otherwise we see a lot of examples of small, medium and big business going out of the competition. Good example is “British Home Stores” which was established in the early years of the previous century but the company

. Control According to ………. the main advantage of being a sole trader is that they are full control of their own business. Also considered as there “own boss”, which applies to this sole trader as he demanded what was tasks were needed to be completed and how he wanted them done, when I observed the workforce at several different times throughout a particular day. Also…. Mentions that they can run their own business how they please without the interference of others as they don’t need to consult

Acme Fireworks is a sole proprietorship that has recently attracted the attention of larger retailers who desire to place large reoccurring orders. It is necessary to ascertain if Acme Fireworks can fulfill these orders and what will be necessary to fulfill such great volumes. In this proposal, I will Determine if the contracts with the businesses will be governed by common law or the Uniform Commercial Code, Analyze whether the verbal agreement discussed between the owner and retailer meets the

and scope. In other words, only large-scale organizations can opt for these choices. This leaves sole proprietorship and partnership business models because they fit into Shania 's strategic needs. Partnerships require drawing an agreement between entities on roles, responsibilities, and revenue sharing rations even in times of losses. Every partner is required to have some form of legal liability relative to the business functions in accordance with state laws. On the other hand, sole proprietorship

Corporation origin from the Latin word Corpus which means body. It is formed by a group of people and has separate rights and liability from those individual. In any means, corporation exists independently from its owner and this principle is called the doctrine of separate personality. Doctrine of separate personality is the basic and fundamental principle in a Company Law. This principle outline the legal relationship between company and its members. Company’s assets belong to the company not the

company. The directors are required to provide their date of birth, place of birth and sometimes they need to provide the details of their ultimate holding company. Unlike sole traders or partnerships, the company itself operates as a separate legal entity to its shareholders. It owns its assets and liabilities whereas a sole trader is liable for all the assets and liabilities directly. This feature of the companies is called limited liability, this means that shareholders in the company can only be

SOLE TRADER&LIMITED COMPANY JINYU ZHANG  contents 1. Introduction 2. Introduction on sole traders and its format of financial statements 3. Limited companies and its format of financial statements 4. Differences between sole traders from that of limited companies in format of financial statements 5. Conclusion 1. Introduction Financial statements are very important in potential investors, management of operator and other stakeholders to make decisions in the business of

• Identify and describe the legal categories of a business organization contrasting tax-related advantages and disadvantages. There are three main forms of business organizations that are commonly known globally; they include; Sole Proprietorship, Partnership as well as Corporation. Looking at the Sole proprietorship, it is conventionally known as a business run by one person who is also the owner. This means that the owner has 100% control over the business. This form of business organization is