Small Australian firm business structures
Small businesses and family firms dominate Australia’s economy. These sole trader, partnership, company and trust businesses exist within a legal framework of rights and obligations that drive a wide range of interrelated aspects. This study investigates how business records, participants’ practical access to business-generated cash, and the way capital is sought and existing ownership transferred, relates to the business structure of small firms and small family firms in Australia. It focuses particularly on cash flow as the life-blood of small firms, and on succession in family firms. Beyond best practice development, project outcomes involve policy development for the small business sector and tax policy addressing the taxation of different business structures. The project team focuses on:
- The factors that drive business structure selection.
- Participants’ understanding of the legal nature of their firm participation rights.
- The merging between firm and participant personal finances.
- Tools and strategies to plan for, manage and take advantage of the business structure adopted.
