A trading trust is usually an entity that holds property (capital) for certain beneficiaries. This type of business structure is formed when a gift or settlement is made to a trustee (a person or a company) on behalf of a yet-to-be-formed trust.
As a registered legal entity, a cooperative differs from a company in that it requires at least five shareholders, each of whom hold equal voting rights. Cooperatives apply the concepts of sharing, democracy and delegation in order to benefit all members. Generally, all members are expected to participate and share the responsibility of running the organisation.
Checklist: Buying a franchise
Paying for the rights to run a business with an established name, marketing and operating procedures offers a new business owner guidance and assistance from the start. However, it also means you need to follow the franchisor's system of running and marketing the business, which may not suit everyone.
What is franchising?
Franchising is not a business itself, but a way of doing business.
It is essentially a marketing concept - an innovative method of distributing goods and services. It is also an extremely successful and rapidly growing aspect of Australia's small business sector.