Case study II Assignment Example | Topics and Well Written Essays - 750 words

Case study II - Assignment Example One of the legal issues they should consider is the business structure. Currently, the business operates as a partnership. This means they should be able to decide the structure that will best suit their expanded business. A decision on this is reached after considering liability issues associated with each business structure; limited partnership or Limited Liability Company. They should also ensure that they get a new license or permit authorizing the operation of the new type of business. This is important because different types of business become operational under different types of licenses1. Contractual relationship is another legal issue to be considered. Hansel and Gretel and their contactors should read through any agreements they make for the new business before acting on them. Since the business operates with contractors, they should also consider disclosure and non-disclosure issues. This means contractors should sign an agreement to protect any confidential information of the business. One of the regulatory issues to be considered before modifying the business is cost. They should be able to meet the financial requirements for the new type of business. Hansel and Gretel should consider how the stability and continuity of the business will be affected by the changes in the business, especially due to structural changes. Control of decisions is another regulatory issue. They should consider to what extend they want to have control over the decisions to be made regarding the business. Hansel and Gretel have to consider financial laws relating to the new type of business for example tax laws and other financial regulations. This includes how the government will tax the new type of business. Various professional advisors give specialized advice regarding business issues. Professional business advisers are selected based on the most critical area that one needs to understand regarding the type of business they want to start.