Question
Dilara and Aysha have inherited a winery from their great grandfather Ankit, called Ankita. Dilara and Aysha have continued to run the winery as a
Dilara and Aysha have inherited a winery from their great grandfather Ankit, called Ankita. Dilara and Aysha have continued to run the winery as a going concern. They share profits equally. As the years progressed, it had become apparent that Dilara and Aysha did not have enough working capital to keep the winery going. In addition, given great grandfather Ankit was rather old and liked old things, the winery became run down, and large amounts of money need to be spent to restore the winery. Dilara and Aysha are approached by Polat, a well-known French winemaker, who wishes to buy part of the Ankita Winery and work there as a chief winemaker. Dilara and Aysha are excited as both Polats money and expertise are desperately needed at Ankita. Dilara and Aysha visit your office and seek your legal advice as to: a) What type of business organisation are Aysha and Dilara currently operating; and b) Whether the current business structure is the most suitable vehicle for selling part of the Ankita Winery to Polat, or whether they should consider another form of business structure, and, if so, which one?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started