Adm 1300 Individule Case
“Derek’s Shawarma”
Feb. 25th 2011
ADM 1300M
In partial fulfillment of the requirements of ADM 1300
Executive summery
To:
From:
Date: February 25th, 2011
Subject: Derek’s Shawarma
Problem: Derek and Sal needed to decide how to structure the ownership of their business.
Alternatives:
* Maintain the status quo * Choose the general partnership * Choose the limited partnership * Choose the public corporation * Choose the private corporation
Facts considered: * Derek graduated from the Telfer School of Management at the University of Ottawa 13 years ago, and his specialization in management. * Derek started his career in a middle management position at a firm in Ottawa; but Derek didn’t satisfy with his success in it. * Derek’s friend Sal wanted to keep busy in his retirement and he wanted to start a restaurant. * Derek had been a long-time resident in Ottawa; he was familiar with the local market, so he suggested a shawarma restaurant to Sal.
Recommendation:
I recommend Derek and Sal choose structure a private corporation. They can sell the shares of stock to just a few people. They have more money to start this business, they will also make more profits in the future owing to the great potential of this business. Derek can use his knowledge of management in this business.
Assumptions
1. Derek can quit from his job in order to do his own business. 2. Sal has the resources to run this business; he has enough money to hire employees, to start this business and to rent a space. 3. For the corporation ownership, Derek may need to put amount of money in the business, so that he can hold shares of stock.
Statement of the problem
Satellite problems 1. After working at a firm for a few years in Ottawa, Derek realized that he did not feel satisfied with success in the corporate world. 2. Potential promotions were not enough to keep Derek inspired 3. Sal wanted to keep busy in his
Feb. 25th 2011
ADM 1300M
In partial fulfillment of the requirements of ADM 1300
Executive summery
To:
From:
Date: February 25th, 2011
Subject: Derek’s Shawarma
Problem: Derek and Sal needed to decide how to structure the ownership of their business.
Alternatives:
* Maintain the status quo * Choose the general partnership * Choose the limited partnership * Choose the public corporation * Choose the private corporation
Facts considered: * Derek graduated from the Telfer School of Management at the University of Ottawa 13 years ago, and his specialization in management. * Derek started his career in a middle management position at a firm in Ottawa; but Derek didn’t satisfy with his success in it. * Derek’s friend Sal wanted to keep busy in his retirement and he wanted to start a restaurant. * Derek had been a long-time resident in Ottawa; he was familiar with the local market, so he suggested a shawarma restaurant to Sal.
Recommendation:
I recommend Derek and Sal choose structure a private corporation. They can sell the shares of stock to just a few people. They have more money to start this business, they will also make more profits in the future owing to the great potential of this business. Derek can use his knowledge of management in this business.
Assumptions
1. Derek can quit from his job in order to do his own business. 2. Sal has the resources to run this business; he has enough money to hire employees, to start this business and to rent a space. 3. For the corporation ownership, Derek may need to put amount of money in the business, so that he can hold shares of stock.
Statement of the problem
Satellite problems 1. After working at a firm for a few years in Ottawa, Derek realized that he did not feel satisfied with success in the corporate world. 2. Potential promotions were not enough to keep Derek inspired 3. Sal wanted to keep busy in his