FBE2604 Assignment
1 (COMPLETE
ANSWERS) Semester
1 2026 - DUE 26
March 2026;
Kenneth Githaiga
, FBE2604 Assignment 1 (COMPLETE ANSWERS) Semester 1 2026 - DUE 26 March 2026;
Question 1 Thabo and Lerato agree to start a business selling organic
skincare products. Thabo contributes R100 000 in cash but insists that this
amount must be repaid to him in full even if the business fails. Lerato
contributes her expertise, industry contacts, and manages the day-to-day
operations. The parties agree that Lerato will receive 30% of the profits only
if the business makes more than R200 000 in net profit per year. No written
agreement is concluded. After two years, a dispute arises. Thabo claims that
a partnership exists and demands that Lerato share in the losses incurred by
the business. Lerato argues that no partnership was ever formed. With
reference to the essentialia of a partnership agreement and relevant case
law, advise whether a valid partnership exists
FBE2604 – Business Entities
Assignment 1 – Semester 1, 2026
Topic:
The existence of a valid partnership: An analysis of the essentialia of a partnership agreement
with reference to relevant case law
COVER PAGE
Module Code: FBE2604
Module Name: Business Entities
Assignment: Assignment 1
Semester: 1
1 (COMPLETE
ANSWERS) Semester
1 2026 - DUE 26
March 2026;
Kenneth Githaiga
, FBE2604 Assignment 1 (COMPLETE ANSWERS) Semester 1 2026 - DUE 26 March 2026;
Question 1 Thabo and Lerato agree to start a business selling organic
skincare products. Thabo contributes R100 000 in cash but insists that this
amount must be repaid to him in full even if the business fails. Lerato
contributes her expertise, industry contacts, and manages the day-to-day
operations. The parties agree that Lerato will receive 30% of the profits only
if the business makes more than R200 000 in net profit per year. No written
agreement is concluded. After two years, a dispute arises. Thabo claims that
a partnership exists and demands that Lerato share in the losses incurred by
the business. Lerato argues that no partnership was ever formed. With
reference to the essentialia of a partnership agreement and relevant case
law, advise whether a valid partnership exists
FBE2604 – Business Entities
Assignment 1 – Semester 1, 2026
Topic:
The existence of a valid partnership: An analysis of the essentialia of a partnership agreement
with reference to relevant case law
COVER PAGE
Module Code: FBE2604
Module Name: Business Entities
Assignment: Assignment 1
Semester: 1
