operation management

| December 3, 2015

You are planning a new business called “Snake Ride.” This business will involve using boa constrictors to give children rides at County Fairs. You need about $175,000 in capital, and have found that banks will not lend you any money. Even worse, you have no money, and the most that any one person will invest is $1,000. Because of your snake expertise and general rapport with children, you insist on total management control of the business. The investors that you have contacted to date say that they will be willing to risk $1,000 and will be more than happy to let you run the business, but they insist on being able to personally write off the start up losses that your business plan anticipates for the first two years. Choose one of the business entities covered in the lecture and the text, e.g. corporation, partnership, limited partnership, LLC., defend this choice by a comparative analysis of the possible options, and set forth the documents that will have to be drafted and agreed upon to form this entity, including any important language that you will insist upon in the documents to best protect your interests.

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