If you plan to open a bookstore as your business, you need to know several schemes that are related to the ownership of the bookstore. You must know that ownership greatly affects how the bookshop will be managed. It also can make significant differences when it is time to pay taxes, deal with legal matters and to split or close the bookstore. Customers may not know whether your bookstore is owned by you or by a group of investors who work together as a corporation. In general, the ownership of a bookstore business can be categorized into several forms as follows:
This is suitable for anybody who is planning to start running a bookstore with very limited capital. Home based bookstore owners usually choose sole proprietorship as the form of their bookshop. Their entrepreneurial spirit will prove whether their business will succeed or not. The bookstore will fully be controlled its owner. She or he will be responsible for trade and legal claims from book suppliers or distributors, banks, and single taxation from both the local and central government.
If you and your friend(s) decide to start a bookstore, all of you will need to share the burden of providing or raising the initial capital. A bookstore that is run on the basis of partnership is simpler to form than corporation. However, it has less ability to raise capital from the public if partnership is chosen. Most often, owners of a partnership bookstore are liable for legal claims made by book publishers and customers
Similar to other retail businesses, a retail bookstore firm that is based on corporation will be formally under the state law. As a legal entity, the bookstore corporation is separated from individuals who own the stocks of the business. Most often, stockholders choose professionals to run the bookstore.
Whether your new bookstore is a sole proprietorship, or corporation, it needs to be planned, run and managed well. Store location is an important factor if the bookstore is a brick and mortar one. If it is an online store, a reliable e-commerce shopping cart that is supported by a powerful webserver is a must. In addition, the online bookstore needs people with IT expertise who really know how to manage or operate the shopping cart software. All types of ownerships have their own advantages and disadvantages. You can choose any of them according to your financial and managerial capacity to realize your dream of running your bookselling business.
A part of the above types of bookstore ownerships that I mention above, there is still another scheme which you can choose to sell books to make money without really running or having a bookstore. Today, an online bookstore called the Amazon.com provides opportunities to anybody who wants to join the Amazon Associates program. Through this membership, anybody can sell books and other types of merchandise that Amazon.com sells through his or her blog or website. This can be a quick solution to those who are now thinking of making money from the comfort of his or her own home. by Charles Roring