Question
Rose, Violet, and Daisy want to open a greenhouse business. Rose and Violet will each invest $10,000 into the business and plan to run the
Rose, Violet, and Daisy want to open a greenhouse business. Rose and Violet will each invest $10,000 into the business and plan to run the day-to-day operation of the business. Daisy will also invest $10,000 but will not help with running the business. The three women have come to your firm to discuss the formal structuring of this business. When forming a partnership, it is very important to inquire and know about the potential partners, financial position, their family life and how such issues could affect the partnership. Next, determining a business structure influences everything from day-to-day operations, taxes, and how many personal assets are at risk. What are a few important questions the firm need to inquire about the partners?
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