Sports Bar Franchise Business Venture

In this paper a Sports bar franchise is selected for business venture. A sports bar is a bar which provides a big screen for the sports fan to enjoy their favorite sports. Over the years, the sports bars are growing in terms of popularity. So considering sports bar franchisee for a business venture seems to be a profitable venture.

Goals of the Business

The Primary goal of the business is to provide sports fans with an environment where they can enjoy good food with their favorite sport. The Company wants to establish itself as a brand name and have its franchisee spread all over the country. The company's main goals are listed below:

All six sports bars to be entirely functional by the 2010. All sports bars should have a successive time line of starting.

Maintain control over cost by employing quality management and techniques. Each location would be having full automated computer control.

Try to maintain the food cost share in revenue to 32% and beverages share would be kept below 20 %of the revenue.

A careful selection of the locations would be done by choosing only those places, which fit into the schema of the company's plan (Indigo Joe, 2009).

The annual sales target for each location would be kept at $2 to $5 million.

Goods and Services Provided

The Sports bar would be providing for food, beverages as well as, television screens where customers can enjoy their favorite stars in action. The Sport bar would be providing for full fledged menu so that its sales do not falter, when a particular sport goes into a offseason. The restaurant would be providing for a varied menu which would have salads, wines, steaks and burgers. The restaurant would be providing for large dinning spaces, with giant television screens, where customers can enjoy their favorite sports. The restaurant would be featuring plasma, high definition and large screen televisions, which would be positioned in a way that fans can enjoy the game from each corner (The Sports Pub Franchise with a Difference, 2009). The restaurant would be having technological advanced wireless voice boxes.

The restaurant would have special areas for children which would feature various games that children can play. The restaurant would have authentic sports memorabilia such as jerseys, signed racquets and memorabilia of any type. The restaurant would have quality audio and video system installed. The restaurant would have open, well kept restrooms, well lit interiors and comfortable dinning spaces. The restaurant would be having customized corners which would be featuring various teams. The wall would be having team banners and autographed pictures of sports persons.

Target Customers

This sports bar would be a little different from the typical sports bar. The target of this sports bar/restaurant would be families. With this target market, the restaurant would be attracting males, females as well as children. The special enclosed areas for children would attract families as they can bring their children along. The restaurant wants to attract avid followers and sports enthusiasts.

Location and Services

the sports bar would be located across various places across USA. The company would search for those locations which have avid fan following of various sports. The sports bar restaurant would be located at open and spacious places, which are not crowded. The restaurant would be providing for various services to the customers.

Various Kinds of Business Organization

Businesses have various options available to them in regard for the kind of business organization they wish to have when entering a business venture. The person starting a business can do it alone and venture with another person. The various choices along with their strength and weakness are discussed below:

Sole Proprietorship

In a sole proprietorship, the business does not have separate existence from the owner. The owner has to share unlimited liability related to the debts incurred in, of the business. His personal income would be accountable for all the income as well as losses. A sole Proprietorship usually faces problem while raising capital. The unlimited liability is the biggest drawback of this kind of business. The life of the business depends on the owner's will. The various advantages of sole proprietorship are low cost to start, less regulation, decision making is easy, working capital required is minimal, all the profits go to the owner and tax advantages. The various disadvantages associated with this business are unlimited liability, difficulty faced in raising capital and lack of continuity after owner dies.

Partnership

In partnership, all the partners have to share the liability associated with the debts. The various advantages associated with the partnership are easy in formation, Low staring costs, extra sources of investment capital, numerous tax advantages, less regulation and bigger management base. The various disadvantages associated with the partnership are unlimited liability, division in authority, problems in raising extra capital, problems in finding partners and differences between partners (Proprietorship, Partnership or Incorporation, 2009).

Corporation

A Corporation is a separate legal entity and maintains a distinction from its members. The various advantages associated with the corporation are Limited liability, tax benefits, Specialized management, transferable ownership, Continuous existence, separate legal identity and easy to raise capital . The various disadvantages associated with are tight regulation; formation is expensive, Charter restrictions, extensive record keeping necessary and double taxation.

Corporation would be well suitable for this kind of business, as, a great deal of capital is required for opening such kind of sports bar restaurant.

Global Legal Environment

The global legal environment implies the regulatory environments that exist in international business. The legal environment helps to regulate a firm's operation in the international market. When a company crosses its mainland to set up business in foreign shores it has to abide by all the rules and regulations of not only their own country; as well as, the other country. Various governments enact laws, in order to regulate the operations of foreign companies as well as, to shield their domestic companies. The Government enters into various kinds of treaties for global businesses. The governments impose various taxes, sign agreement and treaties to regulate global markets. The companies have to comply by all the rules and regulations of these treaties and agreements (Ball & McCulloch, 1982).

Various Domestic and Global Legal Issues

Many domestic and global legal issues can affect the various business structures as well as various areas of law that affect the businesses of an international firm. Various treaties are signed by Governments, which affect the trading and ability to trade, of a company. Various quotas introduced by the Government affects the business structure of a firm. Various tariff and non tariff barrier have a deep impact on the working of a firm. A company has to take care of various laws like consumer protection laws, organization laws, and various regulations regarding financial statements.

These issues can be managed by taking care of all the agreements and treaties, as well as designing the strategy of the company in such a way that it does not contradict the provisions of any company. The firms should abide by all the domestic rules and regulations of a country. All the disputes should be addressed to a proper dispute settling mechanism.

When looking into this, it is only right to discuss the creation of the articles of incorporation for fulfilling the requirements of the entity business plan and the requirements of the legal environment. This exhibit represents the form for the articles of incorporation and the name reservation request form.

Exhibit 1:

ARTICLES OF INCORPORATION

I

The name of this corporation is (NAME OF CORPORATION) .

II

The purpose of the corporation is to engage in any lawful act or activity for which a corporation may be organized under the General Corporation Law of California other than the banking business, the trust company business or the practice of a profession permitted to be incorporated by the California Corporations Code.

III

The name and address in the State of California of this corporation's initial agent for service of process is:

Name ___________________________________________________________

Address _________________________________________________________

City _________________________ ______

IV

This corporation is authorized to issue only one class of shares of stock; and the total number of shares which this corporation is authorized to issue is .

(Signature of Incorporator)

(Typed Name of Incorporator), Incorporator

If an individual is designated as the initial agent for service of process, include the agent's business or residential street address in California (a P.O. Box address is not acceptable). If another corporation is designated as the initial agent for service of process, do not include the address of the designated corporation.

This sample is provided to be used as a guideline ONLY in the preparation of the original document for filing with the Secretary of State.

(Sources: Organization of California Stock Corporations, 2009).

Ball, D.A. & McCulloch, W.H. (1982) International Business (1st ed.). Plano, Tex, Business Publications.

Indigo Joe.(2009). Retrieved February 6, 2009, from http://www.indigojoes.com/flash.html

Proprietorship, Partnership or Incorporation. (2009). Retrieved February 6, 2009, from http://www.canadabusiness.ca/servlet/ContentServer?cid=1102940238713&pagename=OSBW%2FCBSC_WebPage%2FCBSC_WebPage_Temp&c=CBSC_WebPage

The Sports Pub Franchise with a Difference. (2009). Retrieved February 6, 2009, from http://www.foodfranchise.com/Franchise/269314/indigojoessportspub.htm#Request

Organization of California Stock Corporations.(2009). Retrieved February 6, 2009, from http://www.sos.ca.gov/business/corp/pdf/articles/corp_artsgen.pdf

Name Reservation Request. (2009). Retrieved February 6, 2009, from http://www.sos.ca.gov/business/corp/pdf/naavreservform.pdf