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Analyzing a Friend's Business

Your friend, Michelle, has just purchased a business. Because Michelle knows that you have just received your Associate's in Management at a university, she has asked for you help in evaluating the firm. Michelle is not asking you to make a decision for her; she just wants you to help provide her with facts as you see them.

Your task is to analyze the business and report your findings to Michelle. Be sure to tell Michelle everything that you can think of that will aid her once she takes over ownership from the seller. Tell her what she will need to deal with in terms of setting up her new business, and the challenges that she will face. Remember, this is your good friend, and you want her to succeed in this new venture.

You will present Michelle with a report with the following structure:

Executive Summary
Finance and Accounting
Financial Statements
Problem Solving

Solution Preview

In order to set up the newly acquired business, first of all, Michelle will need to make sure that all legal formalities are completed and all regulations have been complied with regarding change of ownership, transfer of shares, notifications to legal authorities, etc. Further, Michelle will need to fulfill all compliances regarding accounting and taxation, as identified during the due diligence process prior to acquiring the business. Michelle will need to make sure that the accounting statements and reporting ...

Solution Summary

A hypothetical friend's purchased business is analyzed a report including sections on regulations, management, finance/accounting, and financial statements in 317 words.