Brief of Scenario
Regarding the scenario the best way to go in that situation will be a partnership. The reason for that being, it cause he has little financial skills and management skills. From what I know regarding starting a business. If you do not have the skills or do not know much about the process, then you will need help starting and running the business. Everyone has their own way to of doing things so that decision it really you to you. Just make sure that you make the right one for you and your family.
This paper will address the issues of sole proprietorship, partnership, and corporation. This will discuss the advantages and disadvantages for all three. This will also discuss which will be the best way to go when starting a business and why.
There some advantages and disadvantages to each type of business. Depending on how much say the owner wants to have in the decision making of the business. If it was I starting a business the best would be corporation or ever better a Limited Liability Corporation (LLC). The reason for that being is that if anything happens to the business the liability does not fall back on you. There will be hard getting help with the start up cost, because with this type of business in the beginning, creditors will use individual for credit situations. Out of the three types of businesses, the best would be Sole Proprietor because the owner has 100% of all decisions and it is easy to start up, even though all debt falls back to the owner personally. This would be to the best way if you are starting up a new business. As you grow you can easily which it over to a partnership or corporation.
When starting up a business there are many decisions the make and questions to be asked. If you do not make the right one it can come back on you in the long run. I have learned a lot from starting my businesses that I have started in the past. Now I have a...