Naming a Buisness

DISCUSSION BOARD 4 – STARTING AND NAMING A BUSINESS

BUSI 561 – LEGAL ISSUES IN BUSINESS

Jeff Siegel

Professor: Scott Smylie, JD, MS

Liberty University

October 1, 2014

Introduction

Betty, a Christian woman, is thinking about opening a Christian coffeehouse in Belmont, North Carolina. She has gained interest from her husband, her sister, and her neighbor. Betty’s brother in-law however, is opposed to her sister’s involvement, while Betty’s husband seems to be content as the ‘silent financial partner.’ There is also the issue of deciding to go with a franchise, or an alternative form of business arrangement. She has also thought of using “The Gathering Place” as a potential name for the business.

Considerations

In the case of deciding on a business type, there are always options. In Betty’s case, she has several. Essentially, Betty can choose to go with an established franchise, have her own branded business, or decide on forming a partnership. Each of these business types offer advantages and disadvantages. A franchise offers many benefits. ‘When you buy a franchise, you often can sell goods and services that have instant name recognition, and get training and support that can help you succeed’ (Bureau of Consumer Protection website). A franchise however, like any other business involves risk, and there is no implied guaranteed success by entering into a franchise. In addition, there can be conditions that need to be met, such as purchasing supplies from the company directly, sometimes at higher costs. There may also be contractual obligations involved.

Betty could also set up her own brand and ‘fly solo.’ The challenges with this are many including getting ‘your name out,’ ensuring that name can be used, and dealing with advertisement and vendors. However, having your own brand does allow ownership, and flexibility in how your business is run. Best of all, there are no set up fees. After all, “With your own business, you don't have this...