George and Sons is an oilfield-drilling contractor. George has been dead for years and Stan and Ollie, two of Georges grandsons now operate the business. Stan and Ollie each own 25% of the business (they acquired their interests from their deceased fathers, Fred and Barney). Two aunts, Wilma and Betty, own the remaining 50%. Wilma and Betty, each in their early 80s, have no children.The business was originally a sole proprietorship. George later brought Fred and Barney into the business. There is no formal partnership agreement. Wilma and Betty have never been actively involved in the business, yet were given their interests after Georges wife Gracie passed away.Stan and Ollie want to continue to expand the business and, eventually, sell the business to a consolidator (a company that buys local businesses, usually in exchange for a combination of stock, cash, and debt). What type of business entity is this business currently? Explain your according to the grading rubric.What business form would you recommend?
George and Sons is an oilfield-drilling contractor. George has been dead for years and Stan and Ollie, two of Georges grandsons now operate the business. Stan and Ollie each own 25% of the business (they acquired their interests from their deceased fathers, Fred and Barney). Two aunts, Wilma and Betty, own the remaining 50%. Wilma and Betty, each in their early 80s, have no children.The business was originally a sole proprietorship. George later brought Fred and Barney into the business. There is no formal
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