Natasha is an experienced producer of drama, and her plays have been highly successful in major cities and towns in recent years. She has decided to embark on a highly ambitious production that will require a substantial investment. Despite her impressive record, Natasha’s usual sponsors have been unwilling to commit themselves to fi nancing her new proposal, considering it to be too risky.In order to develop this project further, Natasha has held meetings with Maria, who has indicated that she may be prepared to provide fi nance. Maria is moderately wealthy but wishes to limit her fi nancial exposure to the risks presented by Natasha’s proposal. She has suggested that they should form a legal entity in order to develop and stage the production. Although she has not ruled out collaborations in the future, Maria is unsure whether her commitment will extend beyond this particular project. Other than providing fi nance and taking a reasonable fi nancial return, Maria is not willing to get involved in the project itself.Required:Discuss the advantages and disadvantages of the alternative business forms that could be adopted by Natasha and Maria. (10 marks)
