Reference no: EM13969446
1. Your friend, Fred, intends to go into business on his own as a timber merchant under the name of 'County Council Supplies'. What could happen to Fred if he does this?
2. Old John Brown has been in business as a furniture remover in Barchester since 1975. Last year young John Brown moved to Barchester and has started up a furniture removal business in his own name. Can old John Brown stop him?
3. Adam Smith, a grocer, comes to you for advice on his finances. What advice would you give him in terms of each of the following questions which he asks you?
(a) 'Times have been very hard for me lately. I owe so many people so much money. I could probably pay my creditors, say, half of what I owe them but no more. Is there a way of doing this, given that I under- stand that a builder to whom I owe £1,000 appears to have gone to court to make me bankrupt?'
(b) 'Anyway, I have tried to make my family safe. Last week I gave my wife the family home and on the same day sold her two terraced houses in Barchester worth £40,000 for £500. Yesterday I also paid my brother off. I owed him £1,000 from when I started up so he should have it. My creditors can't upset these deals, I take it.'
(c) 'I have not paid John, my driver, for a month and I doubt whether I can now. I wish I could have helped him but I guess he will have to go down with all the other creditors. That's the position, isn't it?'
(d) 'Of course, even if they make me bankrupt I shall rent another shop and go on trading. Nothing can be done about that, can it?'
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: 1. Your friend, Fred, intends to go into business on his own as a timber merchant under the name of 'County Council Supplies'. What could happen to Fred if he does this?
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