BUSI 561 Sole Proprietorship DISCUSSION FORUM.pdf

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Coffeeshop

Busi 561

Vicki Thompson

School of Business, Liberty University

Author Note

Vicki Thompson

I have no known conflict of interest to disclose.

Correspondence concerning this article should be addressed to Vicki Thompson

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Sole Proprietorship

making, management flexibility, exclusive products and services selection; low cost investment,

and no conflict and consent negotiations. Some drawbacks Shania may face are personal

responsibility management, wholly debt and liability control, and lone ideas searching.

Permwanichagun et al. (2019) added that sole proprietorship size makes it difficult to convince

pros and cons from. All the profits earned by the business will be solely hers, she can keep track

of the money going in and out of the business, and there would not be any occurring business

taxes. Sole proprietor tax is in a form of income tax (IRS, 2017). Since Shania’s husband is

willing to support the business by contributing to the capital, her husband will be more

comfortable if the money coming in would not need to be shared to someone else’s. Because the

business is Christian theme, Shania can easily promote the business by herself to the

congregation that the individuals in the church group can use word-of-mouth communication to

market the coffeehouse.

Independent Coffee House

Franchising is not building an individual’s dream; it is building the franchisor’s dream.

Having Shania’s business as an independent form of organization is putting her own ideas of

products and/or services into life. Shania will experience a hard time due to unpopularity of her

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business, but through right promotion and strategies; advertisement, hard work, and dedication,

company’s products, Shania can help small local businesses to supply her coffeehouse with

coffee beans, pastries, and even boxes and containers.

Having an independent business, Shania do not need to follow rules of what she can and

cannot sell. Shania will have the freedom of what products and services that she can offer at her

and services she provides. Shania would not need to worry about commitments for getting the

same products and/or services for certain number of years. Additionally, she does not need to

bare the thought of having a competitor nearby who may have the same franchise of products

and services that can badly affect her business.

Business Name and Trademark

The two previous businesses named The Gathering Place according to the State of

Colorado page have the current status of voluntarily dissolved under a nonprofit corporation and

delinquent standing in the form of limited liability company (LLC). The delinquent LLC

business failed to file an annual report with a due date of April 30, 2006. This means that the two

previous firms are no longer functioning. Horwitz (2018) stated that if delinquent status is not

cured within 400 days, the LLC business name becomes available to other businesses. Because

the two businesses in the page can no longer operate, Shania can have the business name The

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According to trademarkia page, the gathering place trademark is already taken and is

Gathering Place business name is too common in Colorado for Shania to use. Making a business

and trademark name that has a personal significance for Shania combined with the theme will be

the best option that has less chance of getting the same name from other businesses or

trademarks.

home, they can take into consideration to have Kelsey get a part time job in the coffeehouse and

Shania can suggest for Kelsey to make pastries at home and supply it for the coffeehouse for

Kelsey to have an extra income. According to Colorado Department of Human Services (as cited

in Wilson, 2017), it is appropriate for a 12-year-old to be left unattended for a short period of

time. Since Kelsey’s kids are currently 13 and 15 years old, she can have a half day duty as a

cashier in the coffeehouse that her husband will be more comfortable with for not leaving the

kids for a long period of time unattended. As stated in 1 John 4:16, “As we know and rely on the

love of God has for us. God is love. Whoever lives in love lives in God, and God in them” (King

James Bible, 2017). Kelsey’s husband may notice what Kelsey’s developing relationship with

God brings to their family, which he may realize that God’s love is unwavering that can change

his perception towards God and share God’s love with his own family.

Carlos can work in the coffeehouse as a barista. Since Carlos has an interest to work in

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hire two more individuals who are Christians and acquire training together with Kelsey and

have more influence of knowing God’s love and great works. Spreading the good news to people

creates happiness to God and to people who has developing relationship with God.

Conclusion

Shania have many aspects to consider for opening up a Christian themed coffeehouse.

sole profits and lone responsibility of a business. Hiring Kelsey and Carlos for a part time job

together with two other Christian individuals may help to influence the faith of Kelsey and

Carlos and may extend to Kelsey’s husband. Through hard work, dedication, and trust in the

Lord, Shania can make the coffeehouse successful and make it possible for future expansion.

Colorado Secretary of State Wayne W. Williams. Records Search. Retrieved December 6, 2017

from http://www.sos.state.co.us/biz/BusinessEntityCriteriaExt.do

Horwitz, M. (2018). How to cure a Colorado LLC delinquency. LLC University. Retrieved from

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IRS. (2017). Publication 344, tax guide for small business. Retrieved March 3, 2022 from

Education

Permwanichagun, P., Kaenmanee, S., Naipinit A., & Na Sakolnakorn, T. P. (2019). The

situations of sole proprietorship, e-commerce entrepreneurs and trend in their

ecommerce: A case study in Thailand. Asian social science. 10(21), 80-88. The gathering

Wilson, J. (2017). What is the Colorado law regarding leaving minors unattended?. Legal beagle.

Retrieved March 3, 2022 from https://legalbeagle.com/7320042-colorado-regarding-

leaving-minors-unattended.ht

Kubasek defines intellectual property is defined as the product of one’s mind and not

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patents, trademarks, manuscripts for books, or even software development for a new app. Many

not (Ahmed & Meller, 2019). Because patents and trademarks can be used to prevent

competition, these companies, especially pharmaceutical ones, have the ability to price gouge

their customers (Radcliffe, 2019). Price gouging is defined as, “An act or instance of charging

customers too high a price for goods or services, especially when demand is high and supplies

greater profit. One way these for-profit organizations are forced to balance the customers’ needs

is by price gouging laws (Virginia.gov, n.d.). These laws prevent companies from charging

unconscionable prices for “Necessary goods and services” (Virginia.gov, n.d., para. 1). Although

these laws help, there is quite a bit of debate as it relates to new drugs on whether they are

essential or non-essential and who makes this decision (Hahn, 2020).

From the standpoint of being a nurse, let’s use the example of a patient with a blood

clotting disorder, hemophilia. These patients require the blood clotting drugs to be administered

twice a year. This may be very detrimental to these patients due to the lifesaving importance of

the ability of this drug to assist in the clotting factor if a patient were to get a deep cut or happen

to have a surgical procedure, for example. While a deep cut may not be life-threatening, it can

be a serious issue for these patients. The cost for this medication, on an annual basis, is over

$400,000. And depending on the coverage their health insurance, they may not be able to afford

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even cover it. Some of these companies are definitely taking advantage of their customers and

companies are the ones that take the risk of investing in a drug initially with the possibility of it

failing (Fleming, 2018). They will still have the ability to profit from their customers and

reinvest the revenue back into their company to research and develop other drugs.

From a Biblical perspective, I believe these companies should be focused on the

states, “For the love of money is the root of all evil: which while some coveted after, they have

erred from the faith, and pierced themselves through with many sorrows. (King James Bible,

2017, 1 Timothy 6:10). If these two verses were correctly applied to a for-profit business, they

would look first to provide affordable goods and services to their customers because they are not

covetous of the potential profits.

When lives depend on the products created by companies, they have a greater

responsibility to work towards benefitting the consumer more than themselves. However, these

products or services should be offered at, or below fair market value. If they are offered below

fair market value, then the company is losing money, which ultimately affects the employees.

Also, as it relates to supply and demand, if a lifesaving drug, like the one mentioned above, has

been developed that everyone wants then the price should reflect that demand. However, it

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companies are not only charging customers for the price of the drug but also the time and money

There are also examples where certain companies with unique lifesaving products do not

have a greater responsibility to benefit its customers. For example, Hutchinson-Gilford Progeria

Syndrome, “An extremely rare genetic disorder in which the symptoms resemble aspects of

ageing at a very early age,” has affected only 130 individuals in the past 150 years (Sullivan,

130 patients then they would not have returned a profit in over 150 years. This lack of profit

would mean employees would be laid off and the lifesaving drug would be non-existent. This is

an extreme example, but it shows how companies look to return a profit when marketing

products, even if they are lifesaving. Also, if you consider saving someone from death to be a

benefit, then that should also be accounted for when considering the balance of benefits to

companies versus customers.

Biblical Worldview

Should I be in the position to running such a company, from a Biblical worldview, there

are a few things I would seek to accomplish. First, I would market my product to provide

revenue for the company that I could reinvest into further research and development. I would

look to be like the two men in the parable in Matthew 25:14-30 who took the investments they

were given, reinvested them, and made a profit. Also, I would look to sell this product at a