Introduction of Proposed Business
The proposed Business is a bank that biblical principles will establish. The bank is proposed to serve the residents of the state of Missouri.
Description of the Business Entity for the Proposed Business
The proposed Business will be a C-corporation, an autonomous legal entity that exists unconnectedly to the Business's owners. Stakeholders, the executive, and officials will have control of the Business. However, one individual in a C-corporation could accomplish all of these roles, so it is conceivable to form a business overseeing everything. The stakeholders will not be liable for the liabilities and debts of the Business. However, this type of entity is expensive to create, and many formalities are involved in its setup. Moreover, there are many tax laws and regulations that the Business has to live up to.
Steps to be followed to Set up the Business
Setting up a business entails planning, making critical decisions financially, and completing a series of lawful activities (Toledano and Karanda, 2017). Some of the steps we will follow in setting up the proposed Business are stated below.
- Researching the market - this determines whether there is a chance for the Business to be successful. It is a means of collecting information on potential clients and bank businesses existing in Missouri. This information will be used to gain a competitive advantage for the Business (O'Toole, 2019).
- Writing the plan for the Business is the foundation of the Business. It is the roadmap for how to run, structure, and expand the start-up business. It will entice individuals that investing in or working with the bank is a wise choice.
- Funding the business - this would be figured out from the business plan. Additional capital may have to be borrowed or raised.
- Choosing the business location is among the most important decisions to make as it will impact the legal requisite, taxes, and revenue.
- Selecting the structure of the Business - the legal structure chosen will affect the business requisites for registration.
- Picking the business name - the name chosen should mirror the brand and capture the business' spirit.
- Registering the Business - it is essential for brand protection and legality.
- Obtaining state and federal tax IDs - this is similar to a social security number.
- Application for permits and licenses - Jordan, Diermeier, and Galinsky (2012) affirm that this would enable smooth business operation by being lawfully compliant.
Ethical Considerations
Like any other business, banks have ethical liability and are not safeguarded by limited liability from the penalties of their activities. A company's account and insight of its ethics influence its image and guarantee long-standing failure or success. The financial community has a history of putting moral considerations above opportunistic or legal measures (Dahlsen, 2018). Once we set up the bank business, we will often be susceptible to moral risks and contamination risks, which are on the rise. Technological revolution and deregulation are improving ethical clashes. Our role is one of stewardship founded on trust. We have to be trusted by those who request us to take care of their monies, and we have a mandate to lend those monies conscientiously.
Banking entails recompensesreplicating actual threats and ethical considerations that make up an essential part of our risk-taking actions. In bad times and sound, the safety of our borrowing clients is of primary concern in our business proposition. O'Toole (2019) denotes that occasionally, commercial contemplations could be at balances where politics and ethics syndicate. Since we will rely on individuals to run our Business and mirror our ethical standards, we will have to inform our people of what is anticipated and assist them in avoiding temptations and pressures. Our responsibility will extend to clients, the government, staff, stakeholders, and the community at large. In prospect, when we experience increasingly intricate and contradictory problems, our commitment and resolve to ethical behavior are sure to be tested.
Possible Disagreement amongst Business Partners, Investors, and Stakeholders
Like married couples, investors, business partners, and shareholders usually disagree on money and how it has to be apportioned. The most usual disagreement is when the individual in charge of the funds misuses finances (Dahlsen, 2018). In most businesses, a particular party is responsible for handling the money. The party in control of the finances may start using the money on things or operations the other parties may not be aware of, therefore, swelling expenditure or altering individual accounts to business accounts, for instance.
Whereas expenses and salaries are one income source for the parties involved in setting up a business, another is stakeholder payment from the annual profit of the Business. A less widespread financial disagreement is when profit payments for tax are not made. At best, a fee to cover every party's tax liability must be made, and failure to adversely impact the individual's tax returns. It could cause some shudder and create problems amid parties involved.
Ways to Resolve the Disagreement
Jordan, Diermeier, and Galinsky (2012) assert that clear ownership guidelines should be made upfront to deal with monetary disagreements. All the parties involved should be open on how much effort and time they invest into the Business and agree on recompenses that mirror that. Another party should also approve expenditure before making any payment. It keeps all parties aware of expenses and provides the chance to probe. Profit allocation has to be entailed in the operating agreement of the Business as well.
Application of Biblical Principles
The Bible is not a book on the past's prodigious businesspersons, so the material that we have to make assessments is relatively narrow. However, we can make some insinuations. We are aware that a number of the apostles engaged in the fishing trade, and Matthew being a tax collector, may be considered a private autonomous business in the then days (Toledano and Karanda, 2017). Additionally, Paul, the apostle, was a tentmaker, Luke practiced medicine, and less talked about followers ran businesses.
One popular biblical act that we may relate to our proposed Business is church planting as practices by Silas, Timothy, Barnabas, Paul, and many other persons. It was and is still an act of Business up to date since it took perseverance, vision, faith, and a readiness to remain strong in the occurrence of opposition. We hope to stay strong with the proposed Business even when things get tough and the competition stiffer.
The act of church planting does not afford material benefits to gauge success. Nevertheless, one could measure success in other methods to consider that church planting enhances the lives of numerous persons. In the same way, setting up a bank would undoubtedly make life better for the people of Missouri state. To envisage a thriving, thriving church preaching the gospel, serving, and evangelizing where presently stand to avoid a few followers is as entrepreneurial as any business start-up (O'Toole, 2019). Anybody who has taken part in a church plant knows that it takes a particular type of individual to forerun such work; similarly, running a start-up bank will require a skilled manager and executive staff.
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References
Dahlsen, J. (2018). Banking on Competition. Institute of Public Affairs Review, 70(2), 28–33. Retrieved from http://search.ebscohost.com/login.aspx?direct=true&db=aph&AN=134714092&site=ehost-live
Jordan, J., Diermeier, D. A., &Galinsky, A. D. (2012). The Strategic Samaritan: How Effectiveness and Proximity Affect Corporate Responses to External Crises. Business Ethics Quarterly, 22(4), 621–648. https://doi.org/10.5840/beq201222442
O’Toole, J. (2019). The Prospects for Enlightened Corporate Leadership. California Management Review, 61(3), 72–92. https://doi.org/10.1177/0008125619839677
Toledano, N., &Karanda, C. (2017). Morality, religious writings, and entrepreneurship education: An integrative proposal using the example of Christian narratives. Journal of Moral Education, 46(2), 195–211. https://doi.org/10.1080/03057240.2016.1238819
