Business forms and governance – due friday 17th | LAW 531 | University of Phoenix

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Resources: Legal Environment of Business: Online Commerce, Business Ethics, and Global Issues: Ch. 14, 15, 16 and 17; Week 2 Electronic Reserve Readings; Legal Source database located in the Week 2 Electronic Reserve Readings

Scenario: You are sole proprietor presenting to a group of investors where you are seeking 20 million dollars to raise capital for your manufacturing company.

Prepare a memo discussing the following to investors:

Choose the one form of organization best suited for your manufacturing company and explain why:

  • Partnership
  • Limited       Liability Partnership
  • Limited       Liability Company (including single member LLC)
  • S       Corporation
  • Franchise
  • Corporation

Explain for the investors which form of organization (from the list above) would be the least suited and why?

(The legal form an entity or individual takes is a decision that must be considered from a risk and liability perspective, not simply one of ease of formation or cost. Form can impact the entities ability to grow and, in some circumstances, its ability to survive. As you consider this reality and approach this assignment, consider not only the form the business takes but also the way it will be governed. Remember the law requires business leaders conduct their business ethically and within the boundaries of the law.) 

Summarize for investors what legal liabilities could arise for the Director or officer of that board?

Explain how you could minimize those liabilities for the Director or officer of that board.

The minimum word count is 1,200 words.

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