REFLECTION QUESTIONS FOR CHAPTER # 23

SOLE PROPRIETORSHIP, PARTNERSHIPSAND LIMITED LIABILITY COMPANIES IN THE BOOK FUNDAMENTALS OF BUSINESS LAW TODAY

Read chapter 23 in the textbook and answer the following reflection questions. The answers are to be submitted for grading.

Ref. Q #1. Two carpenters who are very talented at laying hardwood floors have been laid off from a large company in which they put floors down in high rise buildings. The worsening economy has resulted in hardly any high rise buildings being constructed and no more multi-million dollar commercial contracts for the firm so they are dropping a great number of employees from the payroll. The two carpenters have decided to go out on their own and see if they can get small residential jobs. What do you suggest that they proceed into this new area?

Ref. Q #2 There is an old, failing shopping center that is up for sale. Donald, a real estate investor, has some ideas as to how it can be remodeled and with the right blend of store types can be a successful and thriving place again. But he needs money for his ideas. He has a few wealthy friends that he went to high school with - a successful doctor and a professional athlete. He would rather not borrow the money and he wants to approach his two successful friends. What would you recommend that he do? What form of organization should he try to set up?

Ref. Q #3 Two surgeons who work at a hospital handling ER patients have decided to leave and go into the area of cosmetic surgery. They feel that this is a profitable area but it is a business that should be across a few states. They are prepared to move around to do scheduled surgery across several states. They want to organize these activities in a business. What are their options? What do you suggest?

Ref. Q #4A car dealership owner has been very successful and her business has grown. She got into this business when her father took seriously ill and she has been a genius on the car scene. She wants to expand into a few more locations. She has the capital to purchase the needed inventory. Since her father's death, she owns the business which is currently in her name. What do you suggest for this successful entrepreneur as to a form of organization to be used?