Faith Blush started to sew dresses as a hobby. Later she learned how to make custom jewelry. She has little trouble her dresses and jewelry to friends. She was taking some art classes while pursuing her business degree at AUAF. Her dresses, which she sold on weekends at different craft shows in Kabul, helped pay her tuition and provided spending money. Several local stores were willing to carry her jewelry on a consignment basis. Demand has increased beyond her capability to fulfill it. As she completes her business degree, she decides she would like to get into the business of selling her dresses and jewelry. She learns of a small shop for rent in a good location. A friend, Norah Smith, who has one more year until graduation, is willing to help Faith in her spare time. The local bank is willing to lend Faith $10,000, which is the amount she believes she needs to pay rent, buy inventory and pay for Norah’s part time work over the next year. The loan is conditioned on Faith’s father guaranteeing payment. Faith’s uncle, who is the head of a large corporation, suggests Faith should incorporate the business. What should Faith do?
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