High school friends David and John have decided that after twenty years of planning and formulating their perfect business idea, a pub and grill is indeed the concept they have in mind to open. The two make a perfect team, David has a reputation for creating the most sumptuous burgers and steaks, while John believes that his craft beer is unmatchable and could compete with the best. Recipes are in place, and the craft beer bottled, yet David and John (D&J) are undecided on the form of business entity they would like to create. A formal business agreement and a partnership is somewhat ideal, a private company may have benefits, and they agree that they need to seek advice on the type of company or business entity and the registration process.

A. Provide David and John advice on the four main business entities used to conduct business in South Africa. Your advice should include an example of each type.

B. Further to your discussion, include a few pointers on distinction of extraordinary and universal partnerships.

Answer rating: 100% (QA)

A In South Africa there are four main types of business entities commonly used to conduct business Sole Proprietorship This is the simplest form of bu... View the full answer