Types of Business Organization and Legal Consequences

BUSINESS LAW

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Types of business organization....................................................................................................3
Recommendation for Sam............................................................................................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................1

INTRODUCTION
Business law is refers to the commercial law or corporate tax and this is applied on the
basis of rights, relations and then conduct of persons and business which are help for engaged in
commerce, trade, merchandisings and sales (Acosta, Varda and Xenakis, 2018). There are
different types of business law such as consumer goods sales, intellectual property, taxes,
employment law, immigration law etc. Present report is based on different types of reorganizing
IOM solutions and the legal consequence for each option. Then, study will present
recommendation which can be most suitable type for Sam for choosing IOM solutions.
MAIN BODY
Business refers to collects the information which can be used in day to day business
operations and analysis. There are different types of business which can be operated by company
in order to focus on earning profit. This is the long term process in order to help in productivity,
financial protection and employment. Then, main purpose of business is to describe the purposes,
reason which can be initially founded in context to make it successful. There are different type
of business which are help for structured on the basis nature of business, also there are own
benefits and drawbacks of each type of business. It is necessary for the business entity that help
for analysing which income tax return will be filled by owner.
Types of business organization
Sole proprietorship- This is the type of business in which individual can own a business
by himself, the owner are approved of ass board or partner which are make daily business
decision in order to determine regarding business profit. This is the commons structures which
are own by people in order to focus on personal liability. By considering the legal outcome sole
proprietorship and owner are at same point (Ağır and Artunç, 2020).
Also, there are some advantages of this form of business such as It is easy to set-up and
do not require for fillings any papers and it has been stated that in context to legal business there
are not any requirement of proprietorship. Then, the need of tax return is for one time only for
owners. All the decisions taken by an individual who are owning business as well as the tax
forms are not complicated.
However, owner can be exposed to unlimited legal liabilities and owner are responsible
for selling his own car, property or other assets. Also, sole trader are not allowed for accept