Once your students have created business plans, they will have a very good idea how much money they need to raise for start-up costs. In Graffiti Art that Pays , Jeffrey Rodriguez and John Serrano used several methods of financing. Jeffrey s parents let him use an empty storefront in their building. Discuss the terms debt financing and equity financing. Have students write proposal letters to potential investors explaining how much start-up capital they are requesting and how much profit they believe an investor might earn.
Problems discusses an important legal step in starting a business - registering a business name.
Discuss Tim and Matt s two different approaches to solving a name conflict. Show students a sample of the DBA form your county uses to register business names. Have students research the advantages and disadvantages of each form of ownership. Give students the address and phone number of the county clerk s office. Point out that Tim Thorpe is not the only young person in this magazine who had a legal problem.