Old Time Pickle Factory Business Plan

The business I am trying to start up will be a pickle factory. The name of the business is Old Time Pickle Factory where we are in charge of the complete manufacturing and distribution of all items processed at our facility. We supervise every step of the process to ensure the highest quality results for our customers. This business venture will be set up in the structure of a C Corporation. Setting up this business as a C Corporation will limit the liability of all shareholders to their investment. Currently, I am able to provide $10,000 of the necessary $100,000 in funds. As an owner and shareholder, I have 10% of the company however, I need other people to partake in this business venture. In setting up as a C Corporation, I can ensure that

A C Corporation like other corporations must be filed with the Secretary of State. Alongside this, the corporation should have an Articles of Incorporation that distinctly outlines the functions of the business. The Articles of Incorporation will give the basics of the company. With this, the corporation will also have ByLaws that indicate what and where the corporation might need approval. This will outline all internal decisions and serve as the constitution and governance of the corporation. Unlike Sole Proprietorships which are easy and inexpensive to start, they revolve around the singular individual who starts the company and bears all the risk. Partners in a partnership will also assume all risk. Partnerships, since the terms do not need to be in writing offer more leniency but also room for discrepancy. While in a corporation, as mentioned above, all rights and duties are expressly written. Everyone who is a crucial part of the company will know exactly how they are supposed to perform. A C Corporation does not mimic the person who started it. If a person dies in the corporation, the corporation continues. Although, a C corporation is a legal entity that can own property, pay taxes, and be sued. In the event that the business is not successful, a singular person in the corporation is not targeted by creditors or investors who want their money unless a personal guarantee is

A sole proprietorship has a single owner that assumes all the responsibility for the business. Secondly, setting this business up as a partnership is plausible, but not practical. Assuming the business was created with two individuals, those two people would need to have the $100,000. In this instance, myself putting in $10,000 would leave the other partner to cover $90,000 additional costs. Lastly, setting this business up as a Limited Liability Company is an interesting thought, but the shares in an LLC are not freely transferable. Having freely transferable shares allows for a corporation to raise funds easier and helps to maximize shareholder profits through dividends, and selling stock to increase capital