This document provides information on starting and managing a business in 2020. It discusses different business structures including sole proprietorships, partnerships, franchises, new businesses, existing businesses, online businesses, home businesses, non-profits, and corporations. The main points covered are choosing a business name, registering the business, getting necessary licenses and tax IDs, opening a business bank account, establishing credit, evaluating location convenience, and considering the benefits and disadvantages of each business type.

1. HOW TO START
AND MANAGE
YOUR BUSINESS
IN 2020

2. START YOUR
OWN BUSINESS ❏ Choose the name
❏ Register the fictitious
❏ Advertise in the newspaper
for 30 days
❏ Request IRS identification
number
❏ Open a business account
❏ Establish business credit

3. Parking lot
Traffic
Primary location
Rental cost
Criminal activity
City zoning
IS THE LOCATION
CONVENIENT FOR MY
CUSTOMERS?

4. Easy to establish
Low investment
Having control
Fewer business fees
BENEFITS
SOLE PROPIETORSHIP

5. DISADVANTAGES
No legal distinction
between the business and
person
A person is responsible for
everything in the business
Business license to
operate individual tax
Rarely survives the
death of the founder
SOLE PROPIETORSHIP

6. PARTNERSHIP
BENEFITS
Easy to establish
A small investment to start
More than two people can form
Flexible to change the legal structure

7. PARTNERSHIP
DISADVANTAGES
Share the risk
of the other
partner
Liable for all
the partner's
debt is
unlimited
Liable for any
bad actions
of the partners

8. Brand recognition
Systems in place
Risk can be lower
BENEFITS
FRANCHISE

9. The initial investment
can be too high
No input on the look of the
business
Carry any good or bad reputation
Control of the business limited
DISADVANTAGES
FRANCHISE

10. NEW BUSINESS
Significant control of the business
Create own brand
Choose the location
BENEFITS

11. NEW BUSINESS
No capital to start
No brand recognition
Hard to get loans
No systems
Hard to get finance
DISADVANTAGES

12. EXISTING
BUSINESS
Have a system in place
Existing traffic
BENEFITS Employees are familiar
Easier to get funding

13. EXISTING
BUSINESS
❖ Bad or good reputation carries over
❖ Take a close look at the numbers
❖ Employees are used to the
managerial style of the previous
owner
DISADVANTAGES

14. ONLINE BUSINESS
BENEFITS
Can have minimal investment
Physical location may not be required

15. ONLINE BUSINESS
DISADVANTAGES
May take time to see results
The competition is fearless
Need to have a strong online presence

16. HOME BUSINESS
BENEFITS
Low overhead
Low initial
investment
Flexibility

17. HOME BUSINESS
DISADVANTAGES
Risky to bring
employees to home
Hard to get funding
Too many
distractions

18. NON-PROFIT
BENEFITS
Don't pay tax on the donations
Money is used to grow the
organization
Get donations for several
different organizations

19. The founders can't make
profit or benefit
The non-profit has
founders no owners
DISADVANTAGES
NON-PROFIT

20. CORPORATION
C corporations
S corporations
Limited Liability Companies (LLCs)
Non-profit organizations