Think about a good or a service you could produce in the future. This might be something you already make, something related to your future career, or maybe even a family business.
Examples: crochet animals, cupcakes, chiropractic services
Complete each slide for this proposed business. You should replace the instructions on each page with your own ideas, pictures and titles. Do not leave the instructions on the page.
Add flair to the presentation by changing fonts and colors, and adding pictures and graphics
What forms of business organization will you establish?
i.e. sole proprietorship, partnership, and corporation
Why did you choose this structure? Give at least two benefits this type of business organization has over other types of business?
Give 2 drawback to this type of business organization, and explain how you will overcome these drawbacks
Slide 1:
Title: Handmade Jewelry Business
Idea: Creating and selling unique handmade jewelry
Slide 2:
Title: Forms of Business Organization
- Sole Proprietorship
- Partnership
- Corporation
Slide 3:
Title: Why Sole Proprietorship?
Benefits:
1. Sole decision-making power
2. Simple and inexpensive to establish
Drawbacks:
1. Unlimited personal liability
2. Limited access to capital
To overcome these drawbacks, I will ensure to have proper insurance coverage and explore alternative funding options such as small business loans.
Slide 4:
Title: Why Partnership?
Benefits:
1. Shared decision-making and workload
2. More financial resources and expertise from partners
Drawbacks:
1. Shared profits and control
2. Potential for disagreements and conflicts
To overcome these drawbacks, I will draft a detailed partnership agreement outlining roles, responsibilities, profit-sharing, and dispute resolution processes.
Slide 5:
Title: Why Corporation?
Benefits:
1. Limited liability for owners
2. Ability to raise large amounts of capital through selling shares
Drawbacks:
1. Complex and costly to establish and maintain
2. Double taxation on profits
To overcome these drawbacks, I will work with legal and financial advisors to ensure proper compliance and tax strategies are in place.