You are a semi senior member of staff at the Accounting firm called Grant Thornton You have been appointed to deal with a couple Mr and Mrs Hosey, new prospective clients who have just retired from their employment after a long service. The have retired with a tidy sum of money and are planning to start a business they can call their own or control.
This couple who want to set up a business have no idea as to what type of business they want to get into let alone the form of business entity available to them.
As a Semi-Senior member of the accounting staff, you are required to write a report to be delivered by your firm to this couple explaining the issues below:
1. Explain the different forms of business units(sole proprietorship, partnership, limited company) available, highlighting the benefits and limitations of each.
2. Explain financial accounting and management accounting, highlighting the differences between the two strands of accounting.
3. Assuming that you have not been given any information about the funds the couple have available. Explain the sources of finance available to a business owner, looking at Short-term sources, Medium-term sources and Long-term sources of finance giving examples of each.
4. Style, layout, format (Report writing format expected) and relevance.
5. Introduction, conclusion and Recommendation.
6. Referencing - Harvard Style.