Structuring & Partnerships
What are the main trading types?
- A sole trader – a person trades in their individual name
- Partnership – a group of individuals (or other entities) trading together
- Trust – Discretionary (sometimes called family trusts) or fixed (sometimes called unit trusts)
- Company – the business is run by a corporate entity with shares being owned by the interested parties
Each entity type has pros and cons so it is essential to get the right advice before you begin.
Another factor to consider in business is the issue of multiple owners. This raises numerous other issues irrespective of whether they are family, friends or business associates.
How are decisions to be made?
How are profits to be distributed?
What happens if someone gets sick or dies?
It is essential that these matters be considered early to avoid heartache and disputes later on. They can easily be addressed by having the proper agreement in place.
What are the two types of agreements:
- Partnership agreements - These govern the day-to-day operation of the business and can include shareholders agreements and unit holders agreements.
- Buy/sell agreements – Also known as critical event agreements, these cover situations where someone gets sick, injured, or dies requiring that the business be restructured.
COVID -19 Lease Legislation Summary
RETAIL SHOP LEASES AND OTHER COMMERCIAL LEASES (COVID-19 EMERGENCY RESPONSE) REGULATION 2020 (QLD)2020 - SUMMARY OF LEGISLATION Initial Comments On 28 May 2020, the Retail Shop Leases and Other Commercial Leases (COVID-19 Emergency Response) Regulation 2020 (Qld) (“the Regulation”) was introduced into Queensland law. Taking a few weeks longer than anticipated, the Regulation went beyond what was expected, or at least what was noted by the Mandatory Code of Conduct. The Regulation has a very tenant favoured basis, and grants some significant powers, even going as far to provide avenues for landlords and tenants to be ordered to pay compensation by the Queensland Civil and Administrative Tribunal (“QCAT”) if their conduct during the COVID-19 pandemic in negotiating rent is deemed unconscionable or is not in good faith.View All News