Partnerships

To: Whom It May Concern:
From:Ashleigh Williams
Date:20 January 2012
Subj:Pro condition Allocation

As you prepare to enter into this new business to hither, we must be sure that you are prepared and completely clear on how your profits leave behind be allocated. These options will help you all the way see how each of you will benefit from the business check to your contributions at the start of this business.

I believe the best fit for your group would be to create a limited confederation (LP). In LP, one or more general abetter _or_ abettors should be selected ahead of time to assume responsibility for all obligations incurred by the business. Since Ms. Benda Wilson will not be working with the day-to-day, Ms. Elizabeth Higgins and Ms. Helen Poncelet could potentially be the responsible parties.

Now, as mentioned before your group needs to throttle what process you would like to use to allocate or bankrupt the profits generated by your business. First you must calculate the section of what each of you have contributed to the chapiter of the company. I see Ms. Wilson will be contributing most of the capital. Ms. Higgins will contribute her capital through the goodwill method, which will be based on the assumption that her intangible contribution can be translated into a monetary figure. Then finally, Ms.



Poncelet, with all of her experience in the business, on with her connections will also need to be translated into a dollar bill amount using the goodwill method.

Finally, you have two courses of carry out:

In the first course of action, you could use this allocation technique where each partner will receive their percentage of the bet which each of them put into the business.

The second course of action would be a process of which would follow the fluctuation of each partners capital balance. As this balance moves up and down, so will the percentage of which each partner is entitled to. in that respect are different variables that can affect the outcome.

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