A recent graduate of a business school has decided to start a luxury chauffeur service in his town. He has the financial support of friends and family to get the enterprise going. He wonders what type of business organization to form. What advice would you give him? Explain your answer.
Having support from his closest people is a very important thing in starting a new business. I think that the best advice for him would be to open a sole proprietorship. This job doesn't demand a lot of strategies, planning and many people being involved. He should just buy enough cars, employ a few drivers and work on a marketing strategy. He can make quick decisions when it's necessary without waiting for his partner to agree with him, the whole profit is only his and when he want to spread business, he has financial help from family.