THE BUSINESS AND LEGAL ENVIRONMENT2The Business and Legal EnvironmentIntroductionThe decision to startup a business requires a thorough analysis of various businessstructures. Specific particularities based on the legal context enable proponents to identify themost suitable structure. Susan and Mustafa intend to start up a travel agency business that willfocus on providing various traveling and accommodation packages to international studentstraveling at sightseeing spots in Australia. However, they seek advice in relation to theestablishment of their business. This advice pages will examine various types of businessstructures within a legal context in Australia and discuss the most appropriate structure for them.StructuresThere are four dominant business structures regularly used in Australia. They includepartnership, trust, sole trader, and company (Business structures and types, 2018). Notably, thestructures defer in terms of tax arrangements and implications, asset protection, control over thebusiness, ongoing operational costs and expenses, third parties such as investors, licensesrequired and liability issues. It is critical to choose a structure that serves the business needs.Ideally, you can also adjust your business structure all through the entity of your business foroperational and convenience purposes.Sole TraderThis type of business structure comprises an individual who operates as legal personculpable of all aspects of the business. The individual can trade under his own name or prefer tocatalog a business name. The Australian Securities and Investments Commission (ASIC), isresponsible for business registration (Choosing your business structure, 2018). However, from alegal point of view, there exists no difference between an individual and the business. As such,
