Entity Selection Exercise: GXB Printing

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Entity Selection Exercise: GXB Printing

Gary Bauldin

LAW 529: Legal Environment of Business

Barry Preston

August 3, 2004

        GXB Printing is a business that presently has thirty employees in 5 different locations in the state of Alabama.  GXB Printing is a walk-in printing business that caters to those who need documents, photos, business cards, etc…  It also services commercial printing for businesses involved with advertising, producing flyers, office stationary, and signage.  Presently, GXB Printing has over $750,000 invested in equipment for each location, and prides itself on offering the latest technology for its clients.  GXB Printing also plans on utilizing the Internet for online orders and requests.  GXB Printing is looking to expand in the market to different locations, and also implement a delivery service for its customers at an additional charge.

        The owners of GXB Printing have developed a great idea to set themselves apart from other printers in their region.  This would be the proposed delivery service, and the decision to stay ahead with updated technology.  This will allow a low turn around time on jobs for their customers.  With the idea of expansion the owners have a few legal matters to consider; first they must be aware of the zoning restrictions in their desired locations.  The owners should make sure the area is properly zoned for their business.  Zoning is known to change over time and this is not an issue that should be assumed.  Second, the opening of other shops will require them to set up financing for their business.  It would be a good idea for the owners to consider non-disclosure or confidentiality agreements, in order to keep the transaction for state of the art equipment confidential and not becoming evident to his competitors since their vision relies on modern technology in this field.

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        Another issue that will need to be addressed is related to the idea of having delivery for customers.  This delivery idea will revolve around the ability to supply a business vehicle for GXB’s employees to utilize.  The vehicles must be designated for company business and the drivers must have liability insurance.

        While the  owners of GXB Printing have done a great job establishing their business identity and distinction they will want to insure that no other business are allowed to steal their ideas or pass themselves off as their business.  Limited protection for this business can be obtained ...

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