FBE2604 Assignment 1 (COMPLETE ANSWERS) Semester 1 2025 - DUE March 2025

FBE2604 Assignment 1 (COMPLETE ANSWERS) Semester 1 2025 - DUE March 2025; 100% TRUSTED Complete, trusted solutions and explanations. For assistance, Whats-App 0.6.7-1.7.1-1.7.3.9. Ensure your success with us.. Question: 1 Sebo, Tiyani and Tshepo want to start a partnership with the aim of selling African cuisine. Sebo intends to contribute R15 000.00 on condition that should the partnership fail, Tiyani and Tshepo will reimburse her. Tiyani intends to contribute his expertise as a qualified chef. Tshepo intends to contribute the use of his cooking equipment. They come to you for advice on whether a partnership agreement will be valid based on what each of them wants to contribute. Advise them fully. (In your advice, define a partnership, deal with each contribution and conclude.) LSB2605 Read Bargaining Council for the Furniture Manufacturing Industry KZN and UKD Marketing CC & others (embedded for your convenience) and answer the following questions. Refer to the relevant paragraph of the judgment in your answer. Bargaining Council for the Furniture Manufacturing Industry, KwaZulu –Natal v UKD Marketing CC and others (2013) 34 ILJ 96 (LAC).pdf 1.1.1 Who is/are the presiding officer/s in this matter? (1) 1.1.2 In what year was this case decided? (1) 1.1.3 What kind of enterprise is the first respondent in this matter? (1) 1.1.4 This is an employment law case. What is the importance of this matter in so far as entrepreneurial (corporate) law is concerned? (3) 1.1.5 Did the court consider any section of legislation in making its decision? (1) 1.1.6 Did the court apply any particular common law principle in its dictum? (2) 1.1.7 What legislation would be most appropriate to apply in this specific case, and why? (3) 1.1.8 What case/s did the court refer to in its dictum regarding the pertinent corporate law issue? (1) 1.1.9 Name two more recent cases to which the court could also have referred. (2) (15) 1.2 Chad, a shareholder and director of Palm Tree (Pty) Ltd, agrees to sell his shares in the company to Steve for R40 000. In order to enable Steve to acquire the shares, Palm Tree (Pty) Ltd agrees to purchase a second-hand car from Steve for the sum of R40 000. Explain what test/s the court would use in order to determine whether or not this transaction qualifies as financial assistance. (5) 1.3 Mosa and Dineo, the only directors of a financial services company, have been defrauding the company by diverting the company’s profit to an offshore account registered in Mosa’s name. As a result, the company is unable to pay its debts. The creditors of the company come to you for Page 4 of 6 advice on how they can hold Mosa and Dineo personally liable for the company’s debts. Advise the creditors accordingly with the help of the provisions of the Companies Act 71 of 2008. (5) [25] QUESTION 2 2.1 Veronica and Precious intend to start a business together. They are unsure about what type of enterprise would be the most suitable for their business. 2.1.1 Explain the advantages attached to legal personality to them. (5) 2.1.2 Explain whether it is possible to register a new close corporation. (2) 2.1.3 Is it possible to convert a close corporation into a company? (3)Sebo, Tiyani and Tshepo want to start a partnership with the aim of selling African cuisine. Sebo intends to contribute R15 000.00 on condition that should the partnership fail, Tiyani and Tshepo will reimburse her. Tiyani intends to contribute his expertise as a qualified chef. Tshepo intends to contribute the use of his cooking equipment. They come to you for advice on whether a partnership agreement will be valid based on what each of them wants to contribute. Advise them fully. (In your advice, define a partnership, deal with each contribution and conclude.)