You have recently started a business as a consultant to small businesses and are ready to begin
Question:
You have recently started a business as a consultant to small businesses and are ready to begin work with your first client. It is a million-dollar-a-year technical services company that was started by two friends, Sherman and Kelly, 20 years ago. Kelly is a little older than Sherman and has reduced his work schedule to part-time. Sherman is still working full-time, but would like to slow down and enjoy the fruits of his labor. Each has three children. Kelly has two sons and a daughter, all of whom have worked in the business at one time or another. Kelly has a very good relationship with all of his children. Sherman has two daughters who have never had any interest in the business and a son, J.R., who had worked in the business for some time until he and Sherman had a falling out when Sherman divorced J.R.’s mother 15 years ago. It was a bitter divorce that had a very negative impact on Sherman’s relationship with his children, especially his son. They had no contact for a number of years. While the ice has thawed a bit in recent years, the relationship is still very strained. Sherman and Kelly want you to help them decide who should take over the business when they retire. You will be meeting with them for the first time tomorrow and are thinking about how you will approach the situation. You understand the importance of this job. It could chart the course for your consulting business for years to come. You want to be prepared and have decided that you should go in with a list of prepared questions to help you gain a better understanding of the business and all the people involved.
• Draft a list of questions that you would ask to help you assess the situation and identify any additional information that you would gather in preparation for your meeting with the partners.
• Provide the rationale for the questions being asked and the information that you hope to receive.
Accounting for Governmental and Nonprofit Entities
ISBN: 978-0078025822
17th edition
Authors: Jacqueline Reck, Suzanne Lowensohn, Earl Wilson