Case Study Title: $$Navigating Transition at BrightPath Consulting$$

Background

BrightPath Consulting was founded by three college friends: Alex, Jamie, and Morgan. The driving force behind the venture was Alex, an adventurous entrepreneur with a knack for spotting opportunities. Together, they created a consulting firm known for its innovative solutions and personalized service. For the first few years, BrightPath thrived, and the three partners enjoyed a harmonious and successful startup phase.

However, a major event tested their partnership. They took on a high$-$risk project that nearly exposed the firm to significant liability. This incident highlighted the vulnerabilities of their partnership structure. As a result, Alex decided to leave the firm, while Jamie and Morgan chose to restructure the company into a limited liability company $($LLC$)$ to protect their personal assets and ensure the firm$$s stability.

Student Tasks and Report Guidelines

Consider the following questions:

How should Jamie and Morgan carefully plan Alex$$s departure to maintain a positive relationship and avoid legal complications?What steps should they take to ensure a smooth transition, including a fair buyout and clear communication with clients and employees?Which type of LLC structure would best suit their new operational needs, and why?