Small Business Ideal Niteshift
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Small Business Ideal NiteShift
Creating a business of any type will consist of devote oneself in terms of transforming a business ideal into a business plan, which shows the outline of the business product or service, and both the financial statement and implications that are associate within the structure of business. In this paper I will talk about my small businesss uniqueness and my reason in terms of the business organization formation.
NiteShift
According to Mens Health Fresno, CA is 1st as Americas drunkest city, with DUI deaths rank in 16th, DUI arrests at 4th, liver disease death at 2nd in the whole nation(mens health.com). one could say why bother with a city like that or who cares, but I have an ideal that can lower the death rate in Fresno while at the same time can establish a business, thus NiteShift is born. The main ideal behind NiteShift is to make sure that people who are drunk and cant drive back to their home can spend the night at NiteShift and in the morning they are 100% sober and ready to drive back home safe and sound. If needed there is a café that we can make them breakfast so it can help them with the hangover they will experience in the morning. How the way NiteShift works is simple, if someone thinks they are going to drinking all night and will be unable to drive back home, either they call us or come in person to see what rooms we have to offer and the price for the room, also if they want breakfast they can pay for breakfast and a parking space for their car to park in. all of this can be paid ahead of time and the costumer have to show two forms of id and once they come to park their car in our parking structure, come in to the front desk and show id and leave their keys with us. Once returning and are unable to reach to their room on their own we will escort them to their room, with is equip with a bed, bathroom and shower. In terms of uniqueness, NiteShift is a one night, fully equip hotel with its own parking structure and prices that no other hotel in Fresno cant match, and of course trying to make sure less and less drunk drivers are off the street and into a bed.
Four Types of Business organization
There are four types of business organization that I will be focusing on, which I will also talk about the advantages and disadvantages of each of the four types of the business organizational forms. These four forms are sole proprietorship, partnership, Limited Liability Company or LLC for short and both S and C corporations.
Sole Proprietorship
Sole proprietorship is when the business and the owner of that business are on in the same. It is also the easiest and cheapest type of business to setup and operate, but on the other hand the owner has no form of limited liability and must take full responsibility the business in terms of the business is sued by someone or is in debt. Businesses set up in this form are more concerned with balancesheet, income statements, and the statement of cash flows because they do not provide stock aswell as dividends. Sole proprietorships generally receive favorable tax treatment (Kimmel, Weygandt, & Keiso, 2009, p.4).
Partnership
Next are partnerships, there are two types of partnerships and they are general partnership and limited partnership. Lets start off with general partnership.
General Partnership
General Partnership or GP for short, will need two or more people to start up and run a business as co-owners for profit. Lets say my brother and I both wanted to open up NiteShift we need to make an written agreement. In a written agreement it should have the four main key points and they are
Basic Information- information such as name of business, name of partners, the date of formation and the state law that which applies to this business.
Finances-partners contributions to the business, payments on business, profit payout and ownership share.
Management- partners rights on how to manage business
Dissolution- protocol in case partnership is terminated. Keep in mind John D. Rockefellers famous words: “A friendship founded on business is a good deal better than a business founded on friendship.” (Schaefer2006)
Limited Partnership
a Limited Partnership or LP or short. In a LP The entire business is comprise of two or more partners who will operate or manage the business together. Meiners, Ringleb, & Edwards states that “as an added benefit, they are also shielded from business debts and other liabilities, which makes this a great choice for individuals who lack the time or expertise to run a business, but would like to share in the profits” (Meiners, Ringleb, & Edwards, 2006).All but the state of Louisiana, will require some form of the Uniform Limited Partnership Act or the UNLPA. The UNLPA it must contain the following information:
Name of business
The type of business
Address of an agent who can receive legal process
Name