BUSINESS REPORT FOR THE FOLLOWING SITUATION

You and your friends Adam and Betty are thinking about openingthree cafs in Adelaide based around a theme..

You have all identified the locations you want to have the cafes.

Now i need to put together a report on the most suitable business structure.

Adam and Betty would like to manage one of the cafes each and if you want to manage the third caf you can but if you do not want to manage the third salon their friend Charles will be happy to manage the third cafe. Charles has no money so he is unable to invest in the business.

You all believe you need a total investment of $300,000. Adam and Betty can contribute $50,000 each and you can contribute the remaining amount of $200,000.

Consider the situation above, prepare a report for your next meeting with Adam and Better, making sure you address the following questions:

a. Consider the scenario above and choose the two most suitable business structures and compare and contrast the suitability of each.

b. Identify the advantages and disadvantages of starting/investing in the business based on the two business structures you have chosen.

c. Considering the inclusion of Charles as a manager of the third caf discuss the advantages and disadvantages of including a restraint of trade clause in any contract you may offer Charles.

add an example of a restraint of trade clause for Charles that would be valid?

As per a request from students.

The assessment requires to put together a restraint of trade clause.Students have asked for additional word count to allow an explanation of how they determined their clause.