Create-Mashup: Business Structure, Finance, and HR Policies Report

This report examines the business structure of Create-Mashup, a UK-based retailing company, analyzing various legal statuses like sole proprietorship, partnership, and limited liability, along with their respective strengths and weaknesses. It evaluates three key sources of finance for start-ups: personal investment, funds from investors and banks, and crowd-sourced funding, assessing their advantages and disadvantages. The report also identifies and differentiates the three sectors of the UK economy where the business can operate, including the primary and secondary sectors. Finally, it highlights the importance of at least two HR policies in the modern workplace, offering a comprehensive overview of business strategies and considerations.

The structure of
business
1

Table of Contents
The structure of business.................................................................................................................1
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Construct a table show the various legal statuses of business that business will adopt. Identify
strength and weakness of these legal statuses........................................................................3
Considering the business idea, identify and evaluate the strength and weakness of three
sources of finance available to business start-up....................................................................7
Identify the three sectors of the UK economy in which the business can operate. What are the
differences between the three sectors.....................................................................................9
Identify at least two HR policies and comment on their importance to modern workplace 10
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13
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INTRODUCTION
Business structure is sometimes referring to the legal structure of an organization that is being
recognized in some of the given jurisdiction. The organisation business structure is the key
determinant of the various activities that useful for raising the capital of the responsibility for
some of the obligation of the business, as well as there are several amounts of taxes, that the
organization have to owe the tax to some of the agencies (Allen, 2019). As well as before
making any choice on any type of the legal structure of the business owners should firstly
consider its needs and goals and will understand the features of the business structure. Apart
from this there are four main form of business structure that includes the sole proprietorship,
partnership, limited liability, company as well as corporation. Now, in the context of the report
as an entrepreneur of the organisation recently started a business create-mashup that is retailing
company of UK, in relation of company create a business structure that will get to identify
various legal statuses well as various strength and weakness of these ideas as well as what HR
policies used by the business.
MAIN BODY
Construct a table show the various legal statuses of business that business will adopt. Identify
strength and weakness of these legal statuses
The legal status of business will depend on the various type of scale of the business that a new
business is doing to consider the tax implication. If the enterprise has the social aims that they
may consider in order to setting up the social enterprises. Here are the following table that will
be helpful for the various legal statuses of business that will be adopted to get identify the
strength and weakness of each form of the business and how this will work within the
organisation (Audretsch and Link, 2019)
Legal statuses forms About statuses Strength Weakness
Sole proprietorship  The word sole
means single,
the sole
proprietorship
is the business
 The
organizing a
business
within the sole
proprietorship
 But also, there
are some
disadvantages
within the
business-like
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owned by a
single person.
The sole
proprietorship
is very oldest
and most
common form
of the
business.
mostly, sole
proprietorship
comprises
small business
operations that
is own by the
individual.
This
proprietorship
is feasible for
the
entrepreneur
to adopt the
business.
however,
small
proprietorship
sometimes
become quite
unsuccessful.
But sometimes
it will become
contains
various
strength such
as freedom to
make
decisions. This
is the form of
the business
has strength
that if
company is
receiving its
all profit and
pay the tax
once within
the year. this
business has
easy set-up as
well as simple
licensing and
paperwork and
some of few
some of
government
guidelines.
 The sole
proprietorship
has easy set up
and the form
of business,
there is not
limited capital
when any
entrepreneur is
planning to
start the
business, there
is only source
of working
capital.
Moreover, the
amount of
cash is
available
within the
limited form
of business.
 Also, this form
of business
contains
limited human
resources
liability, this is
the
disadvantage
of sole
proprietorship
that you are
the only
decision make
within the
business
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successful for
pursuing their
dreams of
running the
business.
much more
difficulty in
start-up of the
business, also
the business
has limited no.
of employee to
hire
The partnership  Some
individual will
choose the
form of
partnership.
The
partnership is
business
owned by two
or more
persons. This
is also called
general
partners or
limited
partners. The
limited partner
is the business
partner who
does not
believe to take
active role in
decision
 The strength
of the
partnership
includes the
instead of
being only
decision
maker in
business, the
owner can
share their
decision
making with
their partner.
Due to more
people can
generate more
ideas and
possibly
generate more
money to the
organisation
(Hrustek,
 While within
the partnership
there is no. of
problem has
arisen with the
help of several
peoples. This
is the form of
business that
can avoid
some of the
problem lined
to unlimited
liability,
possible
disagreement,
shared profit
as well as
limited life.
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making. The
limited
partnership
comprises the
limited
liability in
partnership or
the limited
amount of
investment.
Furjan, and
Pihir,2019).
Limited liability
company
 The federal
government
similarly
allows
additional
form of the
business, that
is the business
that operates
the pay taxes
as a
partnership
has limited
liability. This
will combine
some of the
advantages of
the owner is
limited to lots
of
investments.
 As well as this
has ability to
raise capital
within the
business. This
also contains
the limited
liability.
However, this
also provides
the separation
towards the
ownership and
management
 The weakness
of limited
liability is
sometimes it is
complex and
expensive. As
well as within
this form there
is slow
decision-
making
process.
Another
disadvantage
is paying
several taxes
to corporation
because the
corporation is
the separate
legal entity
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most of the
states allows
the creation of
LLC, that they
are becoming
very popular
for new
business
openings
Considering the business idea, identify and evaluate the strength and weakness of three sources
of finance available to business start-up
Here is an overview of some of the major sources of finance for the starting within every
business-
Personal investment- before starting up the business, the investor of the company that is
mainly will focused on retailing. The owner somehow to do investment with own cash as well as
with their collateral assets. This will provide the proves to the investors as well as bankers that
the owner have long term commitment to the project that, the company has already at their risk.
Advantages
 Using own cash means there is no
problem is attached within it, there is
no interest is occurring, also there is no
repayment schedule, no meeting and
going anywhere else to giving some of
the cash in order to do finance within
the business, this is the fastest and
easiest way to secure the funding of
business (Gadjieva, and Gadjieva,
2019)
Disadvantages
 Conversely, by using the personal
money, this will be the major
investment within the business that also
means putting itself at the financial
risk. The owner could close from their
saving entirely. The owner has to put
themselves their future plans at risk as
well as this also holds the true of the
business partners.
Funds from investors and bank- The venture capital firms contain the wealthy
individual that is also called the angel investors, that is another source of financing for a new
start up business for expanding the business for long term. These are called as well-heeled
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investors that is generally have enough funding to do finance within the huge amount in business
that can cover all of the needs. This will be giving the numerous advantages to provide the
financial help to newly opened business. so, that the owner of the business can get the business
on track, finding the right fit investors within the business will take a lot of effort. In addition,
the investors can make the large commitment within the newly start business, that is expect to
have the considerable for saying how the business will operate and expand. This gives the
acceptance to the investors and funding that also sometime come with some of the specific loss,
wen this comes to making the major decision within the business. apart, from this bank loans are
also the conventional sources of the business funding. This is getting easier to find out and meet
with the bank in order to discuss the loan, this will be helpful get identify the specific ventures
and capital of the business. That is considering before a loan. This will also charge several
interests and will expecting timely payment to the business before providing loan to anyone.
Advantages
 Bank loan and fund from investors are
also the conventional sources for the
business funding. This will be generally
easy to get find and meet with get find
and discuss with the bank, this will also
helpful to get identify the potential
venture
Disadvantages
 But as this is easier to get the loan also,
bank will need to see the detailed cash
flow projections for the business before
providing the loan. Without proper
documentation they will not provide
any loan to business. so, sometime this
process will get lengthy.
Crowd- sourced funding- This is comparatively a new type of the business funding, that
is crowd-sourcing, imploring the funding and from hundreds or even thousands of the small
investors. By the help of each investor that only will make the small contribution. The crowd-
sourcing financing includes the attractive video of the project idea that will strike on the mind of
the peoples that will be enough to get the funding idea of the business. if the peoples are getting
influence from their funding ideas, they will be easily getting ready to provide the fund to the
business. sometime they have to think this is a reliable business (Kirchmer, 2017)
Advantage
 This will get quickly amount of funding
investment because every investor is
giving contribution some amount of
Disadvantages
 As well as once the funding round is
getting completed investors is
demanding the quick return from the
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money. So, this will be really helpful
for the investors who want money as
faster and quicker for investing within
the business
business, if the business might not be
able to deliver, then it will result in
public failure for the company that has
new start-up.
Identify the three sectors of the UK economy in which the business can operate. What are the
differences between the three sectors
The three sectors in United Kingdom in which the any new start up business can operate
that will includes the following-
Primary sector- This will be helpful for all of the other business. This will also create the
raw materials for the newly started business that will be supportive things to every of the
business. This sector will generally service the very small percentage of the business that
contains active population within the United Kingdom. Because there will be the advancement
within the technology, there will be the various shifts of the primary sector. This will only
accountable for very small percentage of the country’ gross domestic business in UK market.
However, the primary sector also sometimes known as the extraction sector, because this
generally, will involves for making the renewable resources within the business over the 1920’s
around one million of people were get employment within the UK. Due to the reason this will
getting improved the technology as well as the growth of the other energy sources that has been
seen some decline within the industry of primary sector. however, this will be helpful for cerate-
mashup company to do further improvement within the business (Hernández, J Yañez-Araque,
B. Moreno-García, 2020)
Secondary sector –The secondary sector is helpful for distributing the finished goods as
for example – manufacturing and producing of aluminium products, as well as construction of
building home as well as factories as well as this secondary sector also providing the goods as
like the electricity. This secondary manufacturing industry will also helpful for the retail
industry, in order to combine and produce the higher value of the product that is finished.
However, after the development of the new and improved technology such as the spinning
machines that is useful for the growth of the larger quantity. This will be also giving benefit to
the economies of scale; due to they are capable to eliminate the cost of production and will
increase the productivity of labour.
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Tertiary sector- This territory sector is feasible for create mashup retail company,
because this is the only service that is related from the intangible aspects of offering the products
and services to the consumers as well as business. due to this involves the retailing of the
manufactured goods. This also provides the services such as the insurance and banking. Within
the twentieth century, this service sector has been grown due to its improved labour of the
productivity as well as there will be the higher disposable income. The more disposable income
makes the capabilities of the company that includes the more spending on the luxury items such
as the tourism and the restaurant.
The changes in the importance of different sectors;
There will be the primitive economy, that is based on the primary sector, with most of the people
get employed within the agriculture sector and the production of the food sector. Because the
economy will develop to be improved within the technology, as the economy will get develop,
there will be the improved technology that will enables the less labour that is needed within the
primary sector and will allow the growth of the service sector as well as some of the extra
activities. As well as the quinary sector is the part of the economy where some of the top-level
decisions are made. This also includes the rules of government will be helpful for the business
that will passes the legislation that will comprises the top decision maker within the industry,
commerce as well as some of the education sector. As well as most of the time, the government
will also primarily get concerned with the product and services such as the product and services
will related from the health and education (Kao, Hodgkinson and Jaafar, 2019).
Identify at least two HR policies and comment on their importance to modern workplace
Here are some of the two HR policy and importance to their modern workplace is as follows-
Sexual harassment policy- This policy has become the common concern within the workplace.
Some of the countries as well as states have the mandatory for the employee to get occupy the
one place within the organisation as well as company. This policy is become the safe guard for
the employee from the things, that is unwanted and not in the proper way. This will be also
helpful to care and protect the company brand image. This harassment policy is for the people
who does not have the better understanding of these things, because sometime most of the people
are not aware from the fact and figure of sexual harassment. So, this will be helpful to provide an
adequate knowledge about the policy. However, this is really helpful to get avoid the negativity
of the company. This process will include the violation of the company policy in order to reduce
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the provision of the employment opportunities, gives benefits as well as privileges in order to
create the discriminatory working condition for every employee within the organisation, this is
also getting useful for get identifying the evaluative standards within the employment basis of
that discriminatory treatment of person race, colour, nation, origin as well as genetic information
of the marital status. Within this purpose of the policy, the harassment will include the verbal as
well as physical code of conduct and design in order to the threatening from any employee to
another employee within the organisation like employee, co-workers, or any of the person on
behalf of the Create-mashup company (Kumar and Anbanandam, 2019) .
Safety and health policy- The government has getting recognised the safety and health of the
workers is giving the positive impact on the productivity of the company, that will provide
economic and social development. This will be also helpful in prevention that contains the
internal part of the economic development, because the high safety and standards at the working
place is really vital for any of the business for improving the performance for new as well as the
existing company. This is the responsibility of the employer to maintain a safe and protective of
the health of the employee, this can be helpful to get focus on the efforts while improving the
work environment. This is the plan that will describes the people within the organization to get
protect from the injuries and their illness of the workplace. This will be helpful to get manage the
small business within the low-risk industry, of the system that may generally involves within
listening to employees on time. This will be related from having the concerns as well as
responding to them and their problems (Myszewski, J.M., 2019) The successful safety and health
systems having on the following place: -
 The manager of the company is committed to making the work program
 The employee will involve in the program
 The systems are useful to get define the control and hazards
 The training on the safe work practices within the organisation.
 The mutual respect as well as caring of the employee and always doing the open
communication within the climate for conducting a safety environment.
 This will be helpful to write the policy that will emphasizes the importance on the
workplace for safety and health.
 This will also get encourage the employee participation in safety and health of employee.
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 This will go beyond, within the regulations, and address every hazard that will be get
covered by the law (Qa’dan, and Suwaidan, 2019)
CONCLUSION
From the above report the conclusion of the topic is as follows- this report, shows the legal
statuses of the business that the business will adopt to get recognise the way in which business
can be established, that will get suitable for the business, also this get identify the relative
strength and weakness of these legal statuses to get develop the business ideas to evaluate the
strength and weakness of these firms. Apart, from this the financial resources used by the
organisation, that will assist the business in order to establish the new business, this will be
helpful to raise the funds of business and give assistance in proper productivity of the business.
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