Business Forms And Governance Business Forms And Governance?purpose

Business Forms and GovernanceName:Institutional affiliation:Business Forms and GovernanceAn individual or an entity must critically consider the risk and liability before making a decision on a legal form of a business. The legal form of a business plays a crucial role in its growth and in most cases its longevity (Cheeseman, 2015). I am a sole proprietor of a manufacturing company seeking to raise a capital of $20 million to advance and help the company grow. This report will provide significant aspect of the business legal form I intend to have and also various legal liabilities that could arise for the directors of the company and proposed solutions. The best legal form suited for the manufacturing company is the Limited Liability Partnership. The main reasons of selecting Limited Liability Partnership are in regard to its simple and easy way of formation and also its minimal risk and liabilities. In Limited Liability Partnership, the investor has the freedom with minimal cost to decide and select the role that he or she wants to play in the company (Kilveruid & Isaksen, 2006). In