LAWS20059 Term 1, 2020 Assessment 1: Business Structure Advice Report

This assignment is a report analyzing different business structures, specifically comparing company and partnership forms. The report addresses the concerns of three individuals considering starting a business. It examines the costs, administrative burdens, and regulatory requirements of each structure, highlighting the simplicity of partnerships. It also explores the potential liabilities to third parties, emphasizing the limited liability advantages of a company. Furthermore, it delves into fiduciary duties, showing how partners have unlimited liability but are saved from criminal liabilities in comparison to directors. The report recommends a general partnership for the individuals, considering their family ties and desire for control, while also acknowledging the possibility of transitioning to a company structure in the future. The report suggests drafting a partnership deed to clarify details and resolve disputes and discusses the process of dissolving a partnership if needed. The document is a comprehensive analysis offering practical advice to the individuals regarding their business structure decision.