NZQA registered unit standard
11637 version 5
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Title
Demonstrate knowledge of legal structures for business entities
Level
4
Credits
4
Purpose
People credited with this unit standard are able to describe
legal structures for business entities and select a legal structure
for a business entity for given fact situations.
Classification
Business Operations and Development > Small Business
Available grade
Achieved
Explanatory notes
1
Unit standards in the Small Business domain are about the development and
operation of a business, which could be owner-operated or could employ a small
team.
2
Definition
A given fact situation refers to a situation giving rise to no more than three legal
issues, where the facts, either hypothetical or actual, are provided in the form of case
studies for assessment purposes.
3
Legislation applicable to this unit standard includes but is not limited to:
Companies Act 1993
Income Tax Act 2007
Partnership Act 1908
Limited Partnerships Act 2008
Financial Reporting Act 2013.
4
Range
Legal structures include three of - sole trader, partnership, company, Māori trading
trust.
Outcomes and evidence requirements
Outcome 1
Describe legal structures for business entities.
Evidence requirements
1.1
The description outlines the features of each type of legal structure.
NZQA National Qualifications Services
SSB Code 130301
 New Zealand Qualifications Authority 2016
NZQA registered unit standard
characteristics, liability and two of – formation, capital,
continuity/closure, transferability of ownership, control, tax
implications, profit.
Range
1.2
11637 version 5
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The description outlines the advantages and disadvantages of each type of
legal structure for trading purposes.
Range
three advantages, three disadvantages of each.
Outcome 2
Select a legal structure for a business entity for given fact situations.
Range
three given fact situations.
Evidence requirements
2.1
The legal structure is selected by determining whether the features of each type
of entity match the issues arising from a given fact situation.
Planned review date
31 December 2020
Status information and last date for assessment for superseded versions
Process
Version Date
Last Date for Assessment
Registration
1
30 September 1997
31 December 2018
Revision
2
16 January 2001
31 December 2018
Review
3
17 July 2009
N/A
Rollover
4
24 October 2014
N/A
Review
5
19 May 2016
N/A
Consent and Moderation Requirements (CMR) reference
0113
This CMR can be accessed at http://www.nzqa.govt.nz/framework/search/index.do.
Please note
Providers must be granted consent to assess against standards (accredited) by NZQA,
before they can report credits from assessment against unit standards or deliver courses
of study leading to that assessment.
Industry Training Organisations must be granted consent to assess against standards by
NZQA before they can register credits from assessment against unit standards.
Providers and Industry Training Organisations, which have been granted consent and
which are assessing against unit standards must engage with the moderation system that
applies to those standards.
NZQA National Qualifications Services
SSB Code 130301
 New Zealand Qualifications Authority 2016
NZQA registered unit standard
11637 version 5
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Requirements for consent to assess and an outline of the moderation system that applies
to this standard are outlined in the Consent and Moderation Requirements (CMR). The
CMR also includes useful information about special requirements for organisations wishing
to develop education and training programmes, such as minimum qualifications for tutors
and assessors, and special resource requirements.
Comments on this unit standard
Please contact NZQA National Qualifications Services nqs@nzqa.govt.nz if you wish to
suggest changes to the content of this unit standard.
NZQA National Qualifications Services
SSB Code 130301
 New Zealand Qualifications Authority 2016