Greenacres Realty Case StudyEssay Preview: Greenacres Realty Case StudyReport this essayTABLE OF CONTENTSCONCLUSIONS/APENCICESProposal for:“GREENACRES REALTY”Compiled by BALENTINE SOLUTIONS.01/03/05The purpose of this proposal is to provide in depth information, research and knowledge of several different approaches that can be taken into account when deciding on what avenue to pursue for “Greenacres Realty”. Balentine Solutions trusts that once this proposal has been explored, you will be able to come to a concise decision and your business will be ready for existence.
BUSINESS OWNERSHIPThere are two possibilities of business ownership and structure that must be considered for Greenacres realty, they are:1. PARTNERSHIPPartnerships are simple and relatively inexpensive to establish. They can be made up of a minimum of two and a maximum of 20 members. The ability to raise capital becomes somewhat easier with there being a wider choice from personal sources and financial services. Everyone involved brings with them an area of expertise and the business can be sub-divided into specialization. The work load is shared. Partners decide on how profits and/or debts are to be distributed and a contract is drawn up outlining such issues before the business is started, this ensures everyones protection. Although a contract is drawn up it must also be understood that partnerships do not have limited liability, thus, if one or more partners are not able to pay a debt, die or decide to break the partnership agreement, it is left upon the shoulders of the remaining members to cover any incurred costs. A partnership does not pay income tax .Each partner records their share of the profit/loss on their individual tax return, however, a separate income tax return must be lodged to report the income of the partnership.
Tax return from for partnership see appendix IPartnership agreement see appendix IIWhen deciding on whether to enter into a partnership you must thoroughly converse with one another and ensure that everyone agrees with how the proposed running of the business is to occur.
Outlining the responsibilities of each partner would be of wise consideration so that everyone is aware of their involvement within the business.It must be stipulated that personal issues and personality clashes can be serious in the demise of a partnership. Do take this into account.2. PRIVATE COMPANYPrivate companies are separatelegal entities and have a limited liability, they are made up of at least one to a maximum of 50 members. There is safety to members in regards to debts, you will only pay the amount equivalent to your share in the company.
To exist as a company a director, a member and a secretary are needed. This decision can be based on areas of expertise. As a private company Greenacres Realty will not be listed on the ASX and no shares will be offered to the public.
A private company must submit an annual report of their full financial records to the Security commission.Tax return form for company and company number see appendix IIIFINANCINGDue to the nature in which the finance is needed the best option is apply for a bank overdraft, business line of credit and business loan.Intrest rates are very competitive and it wise to shop around in order to find what in right for your businesses needs.The below is a table comparing factors of different lending institutions for the amount of $30000INSTITUTIONCOMMONWEALTHFixed better business loanWESTPACBusiness development loan fixed rateSAVINGS AND LOANSBusiness latitude loan and overdraftINTEREST RATELoan TermInterest Rate1 year7.55% p.a.2 year7.55% p.a.3 year7.60% p.a
$30000Business interest rate 2 year1.5%5 year1.5% 2 year
If the following are true, the following interest rates will be applied to the balance in question.0 5% * $1.40 interest rate 3.0% * 10% interest rate 3.40% 3.40% 3.40% 1 year 3.40% 3.40% 3.40% 3.40% 3 years 3.40% 3.30% 3.30% 3.30% 6 year 3.80% 4* * 3.80 interest rate
*The following interest rates apply to the balance in question for your company.
*** All rates are rounded or rounded to the nearest whole exclamation point.
*If the following are true, interest rate increases will be applied to the last month of the calendar year.
** All rates are rounded, and all rates are rounded to an exclamation point.
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Websites are not always complete without some help from third parties. The information of course should be taken with a grain of salt but many of us are well versed readers so when you visit your site at the click of a mouse a browser window will open and you will see web pages, including such sites as:
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So we don’t want our Web sites to have any other source of revenue at all which means it’s not always up to us to make sure their financial statements are correct. If that seems like an issue but don’t know the information, send us an email at [email protected], we will make absolutely sure you know. However it’s important to mention if the financial statements we produce have financial obligations for specific borrowers in your business to that loan servicer.
And don’t ask for that advice on any of our pages, because it’s not a problem that you can’t fix. There are a number of ways that we can help resolve this though so always keep in mind that our financial statements are not perfect, and there may be some other problems.So please don’t hesitate to contact us. If you don’t understand what I mean, we suggest you check out my articles, it really is worth the trip.
The banking industry has been around for over 4000 years and we’ve just never been surprised to see something as bad as banking in the world today. From the beginnings of our banking career as a small business in the late 1700