BUSINESS ENTITIES, LAWS AND REGULATIONS

Business Entities, Laws And Regulations

Business Entities, Laws And Regulations

Business Entity, Control, Taxation and Liability

According to the given scenario, Akiva and Tara are thinking of opening a clinic to carry on their professional practice, which they plan to open as underneath the legal policies of general partnership. Under this law of partnership, both partners will share the control of the business activities of the clinic. While taking any decision, they both will have to consult one another. Partnerships allow all parties involved in a venture to share risks, minimizing the detrimental effect of a failed investment to any one agency. Through partnership, it is possible that both organizations can expand their reach through specialization and in doing so better meet the needs of their target population.

With the help of this kind of partnership, Akiva and Tara will have limitless liability for the debts and other key decision of their new clinic. As per the income tax regulations, it is the accountability of mutual partners to pay tax as a divided return. It is the responsibility of both of them to report their share of the profit and loss in their personal tax return (Coleman, 2008).

Organizing a strong set of liability rules is of insightful importance for anybody who believes in both the significance of individual liberty and the requirement to offer right for, or a prevention of, force and deception adept by other individuals.

Under the unlimited liability, Akiva and Tara's property will be seized if the clinic becomes bankrupt. In this case they will both have to pay the loan to the bank as they both have taken a loan from a bank which needs to be re-paid.

Laws and Regulations to Start a Professional Practices

There are numerous laws and regulations which should be followed while starting a new business venture. Akiva and Tara should also follow this same practice before starting a clinic. The first and the most important law are concerning the license and permission to start a clinic. This should be approved by the medical council along with the state government.

According to the law, those who are starting the clinic must have adequate knowledge and skills of the said field. They must also be aware of the ethical practices which are followed while running a clinic. The professional must have the capability to maintain appropriate level of understanding and skills. Another directive in this apprehension is based on the confidentiality.

Confidentiality is part of the ethics collection of the assessor—a technical device in which the privacy of patients is guaranteed awaiting negotiations over the use of their data. The person involved in the business must make sure that the private information and other relevant facts of the patients are not shared with anyone. Thus, in this concern the partners of the clinic have the liability.

Risk regarding Business

While childbirth is certainly a biological event, it also has a sociocultural component that has changed over time to reflect particular historical ...