Best Type of Business

If I were to ask, which form of business will I choose if want to build up a business after graduate, I would like to choose partnership as my business's form as compared to sole proprietorship and company. Why?

First of all, I would like to introduce briefly on partnership's business. It is a legal business entity with two or more partners. In this form of business, a person forms a partnership with one or more persons to carry out a business with a view to make profits. A partnership is also incorporated under the Business Registration Act 1956.

The reason why partnership's business is chosen is because it is easy to set-up the business with few formalities compared to company. The business Registration Act 1956 does not specify that the formation of partnership business must be followed by a written agreement between or among partners. So the partner has right to make their own Partnership Agreement which listing all element required or if they do not have their own agreement, the provision af Partnership Act will become applicable. As compared to company, they must fulfill the terms set by the Companies Commission of Malaysia which require written instructions and internal rulings to be used as reference and guidance. The requirements are Memorandum of Association, Articles of Association, The Share Capital of a Company, Members of Shareholders, Board of Directors, Secretary, Auditors Registered Office and Company Seal. This means that company is subjected to more rules and regulations compared to partnership.

In term of equity, capital can be increased through enlisting additional partners. This could solve the problem of lacking of money to run the business and reduce the possibility of taking loan which charging interest. This is better than sole proprietorship business where I need to search for money lender and bare the loan and interest by my own.

In term of management, the responsibilities of managing and handling