Alf is a recently retrenched corporate manager who decides to form a lawnmowing business In his local area to help him keep fit and earn a little income (no more than $30,000 per year). He already owns a large four-wheel drive car, and plans to buy a large trailer, two lawnmowers and whipper-snippers.

(a) Alf approaches you for advice about an appropriate legal structure for his new business. Alf informs you that he is choosing between establishing his business either as a sole trader or as a company and wants to know more about these business structures. Advise Alf, specifying explicitly any assumptions you consider necessary. At the end of your answer, make a recommendation on which business structure you would advise Alf to use for this small business. (Maximum answer 550 words)

(b) Alf discusses his business idea with Ben and Carrie, who were also recently retrenched, and they agree to enter into business together. Each has distinct skills and experience to bring to the start-up, and they are based in different geographical regions. Given these circumstances, Alf would like your advice on what type of legal structure would be best for his business. What advice would you provide? (Maximum answer 550 words)

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QUESTION a Business structure refers to the legal structure of an organization that is recognized in a given jurisdiction The four main forms of business structures in the United States include sole p... View the full answer