Your friend, Rory, wants to open a doggie day care business. As her consultant, you will be helping Rory think through the different elements of starting up a business and planning for the needs of initial operations.
The various phases of the course project will bring you face to face with the intersection of law and business, as you help a hypothetical friend think through some practical business decisions. This kind of specific application of the ideas presented in this course will help you see just how much legal considerations impact business at many different points.
Part 1) 3 pages
The course project starts with a discussion to help you and your classmates brainstorm about different legal issues a business may need to consider. If you have experience with starting and running a business, please share your insights and observations. Even if you have never before given much thought to the many details involved in launching a business, you can contribute some fresh ideas to the discussion.
Discuss with your classmates at least three legal issues Rory should think about as she plans for the start-up of her doggy day care business. What are at least two types of laws should Rory consider? Where do those laws come from (federal, state law, other)? Give reasoned support for your answers.
Part 2) 3 pages
Previously, you came up with some ideas about legal issues a start-up business might need to consider. Now you will shift your focus on the pros and cons of different forms of doing business. Rory has asked you to recommend the business entity you believe will best fit her needs and preferences. In 3-5 pages address the following:
- Identify at least three options of business entities Rory could use for her doggy day care business.
- State your recommended choice of entity
- Explain why you recommended this type of entity.
- Identify strengths and weaknesses of each business entity form mentioned, including your recommended choice.
- Why did you choose your recommendation in spite of its weaknesses and over the strengths of other options?
- Please give reasoned support for your answers
- Give informal credit (such as in-text reference citations or web site addresses) to sources you quote or paraphrase.
Part 3) 3 pages
Rory needs your help deciding what terms and provisions she will put into a contract for her business. You may choose whether to work on an employment contract, a lease agreement, an agreement between your friend’s business and one of its vendors, an agreement between your friend’s business and its customers, or some other kind of agreement for the business. In 3-5 pages address the following:
- Explain a business situation in which Rory should use a written contract for her doggy day care business.
- Write a contract for the business situation you identified, making sure to include key terms to protect Rory’s business interests.
- Explain why you chose the contract language you included, and if you intentionally chose not to include any specific contract language, explain your reasons for leaving out any such language.
Part 4) 3 pages
You now know how important it is to be careful about what agreements say. Now the key question is which structure – buying or leasing – will be the best way for your friend to get access to the real property and personal property she needs for the initial phases of her business. In 3-5 pages address the following:
- State whether Rory should lease or purchase building space for her Doggy Day Care business.
- State whether Rory should lease or purchase office equipment for her Doggy Day Care business.
- Give reasons in support of your choices.
Part 5) 1 pages
· Compile recommendations for start-up business on choice of entity, contract terms, manner of holding property, incorporating instructor feedback on these components.
· Add a conclusion in response to the question, “What did you learn from this project about the types of legal matters an entrepreneur needs to consider?”