You have the task of advising clients as an accountant. Amongst your clients is a family with a mother and father both aged 50 (and with considerable wealth), and 4 children, aged 21, 18, 17 and 10. The parents wish to involve their children in their next business venture. The parents anticipate contributing $2 million of their own capital and having the venture borrow a further $2million. The parents seek your advice as to how the venture should be structured.The investments under considerations are: a retail business, a farm, a speculative mining venture, a long-terminvestment portfolio.

Examine, with express reference to the given facts,the relative advantages and disadvantages of the structures available in law for acquiring and conducting these proposed investments.Your answers should include the relative complexity, flexibility, aspects of liability and suitability for financing purposes for each particular structure contemplated.