Problem:
Alf is a recently retrenched corporate manager who decides to form a lawnmowing business in his local area to help him keep fit and earn a little income (no more than $30 000 per year). He already owns a large four-wheel drive car, and plans to buy a large trailer, two lawnmowers and whipper-snippers.
Alf approaches you for advice about an appropriate legal structure for his new business. Advise Alf, specifying explicitly any assumptions you consider necessary.
Alf discusses his business idea with Ben and Carrie, who were also recently retrenched, and they agree to enter into business together. Each has distinct skills and experience to bring to the start-up, and they are based in different geographical regions. What advice would you provide?