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Small Business and Entrepreneurship
Small businesses are usually family- and privately-owned establishments with a limited number of employees. Starting a small business is a form of entrepreneurship. It is like turning a ‘problem’ into a ‘profit’ or a ‘need’ into a ‘demand’.
6,973 Questions
What are the main advantages for the highway agency of using a PEST analysis?
the advantages main advantages for highway agency by using PEST are:
- it helps highway agency to decide on policy and services
- it helps to provide good public service and value for taxpayers money
How do you inform all the stakeholders of the progress of the project on a regular basis?
One of the important responsibilities of a project manager is to share information with his team and other project stakeholders. You, as the project manager is the communication channel between your team, your management and the customer. Throughout the project lifecycle, you need to continually distribute relevant information to the right stakeholders at the right time by using appropriate methods. The information is distributed according to the communication management plan developed during the planning stage and by using the Distribute Information process.
Why is a business plan necessary?
You definitely need a business plan when operating a business so you can arrange prices, costs, profit, and other things. Without one, your business won't go too far.
Does the CEO outrank the President?
Within a larger commercial company are many upper management positions. Depending on the company the President could also be the CEO. However, the CEO never outranks the President.
Explain the top characteristic of an entrepreneurs?
- Responsible
- Hard Worker
- Risk Taker
- Creative
- Flexible
- Follows through with ideas
- Personable
- Optimistic
- Perceptive
- Self-confident
- Determined
- High degree of energy
- Innovative
- Independent
- Ability to anticipate needs
- Effective communicator
- Responsive to criticism
- Able to take the lead
- Learn from mistakes
- Self-directed
Invoices shall be kept upto a period of 6 years as required by the Income Tax Act, 1961 to maintain books of accounts and other supporting documents upto a period of 6 assessment years..
What is the Conclusion about marketing in the overall business?
My conclusion has always been that most companies do not do it correctly. Most do not spend nearly enough.
What is the equation for calculating markup?
(S-C)/C
Where S is Selling Price and C is Cost.
Not to be confused with Gross Profit which is (S-C)/S
100% Markup = 50% Gross Profit
What is project proposal and its contents?
Project proposal has one aim which is to determine the feasibility of a project.
The project proposal consists of answers to the following questions:
- What is the proposed solution?
- What is the goal?
- Alignment with strategy?
A detailed explanation of the project proposal can be found here: http://www.pmhut.com/how-to-write-a-project-proposal (sorry can't copy the article).
Responsibility of the sender in communication process?
The sender is responsible for making it easier for the receiver to digest their message. They can talk to them and use body language to increase their chances of receiving the message.
What is the definition and function of quotation in business document?
In business, a quotation is a document that a vendor or service provider would give to a customer to describe specific goods and services that they may provide and its cost.
Besides the term quotation, it can also be referred by other terms like Bid, Quote, Estimate, Tender & Proposal .
What are the Challenges of business networking to the entrepreneur?
The main challenge of networking and becoming an entrepreneur . Is the ability to
recruit family and friends for your new business . This task is a major one , the
individual that introduced you into your new company , more than likely told you
to make a list of everyone you know . They most likely gave you a memory jogger .
Another challenge is arranging home meeting and attending hotel meetings . You
will without a doubt come across individuals that tell you they will show up and
support you with your new business opportunity , and not show up . This can be
discouraging . That is human nature , to feel rejected and lied to.
Can you use your tax id with another business?
Yes, if the other business is NOT another entity. Basically it becomes a division of the first.
How can start your own candle making business?
Find a Candle making Supplier, who sells items to get you started.
Purchase a Candle Making Kit from a online retailer.
You will need Proper size wicks, containers, wax that you prefer to use, Fragrance oils, dye blocks, then Name your business, Sell your items on Etsy, make your own website and list your items.
There is a lot of information that comes along with Candle Making you will need to search online for Certain things:
What temp to melt your wax?
When to add your dye block/color to color your candle?
When to pour your finished batch into your container?
What size wicks you need? Any wick doesn't work?
Will you use regular candle oils or essential oils?
You use less essential oil maybe a few drops, but you use 1oz of FO (fragrance oil) per lb of wax.
Take note and keep these things recorded when making your candles, type of wax used, size of jars, and temps comes in to play.
How do new competitors affect your business?
There is a term called Market Share. Some say that all market shares are limited. They all have a finite number of buyers and potential buyers.
So, if that is true that means that there exists a group of buyers that equal 100% of all your market. If there are market leaders that own over 30%, depending on the market, they are concerned about erosion of their share of the market. In other words how much of the total market being serviced by existing clients will be lost to a new company? If there is 100% someone or a company already in existence is going to lose some of their shares. Just how much depends on how well the existing company competes with the new company in areas such as Price, Product. Promotion etc......
On the flip side a new company could come into a market and do a terrible job only to help the exisiting companies by their clients realizing how terrible the new company is compared to their old company and they switch back to their old company and stay there for ever. Also on the positive side is that a new competitor can stimulate awareness of existing companies by the new companies efforts in ads.
For example if a new "Cola" company started playing ads on TV, Radio and Magazines your mind just might be made to think of the Cola you grew up with or always purchase.
Next, the worst situation. The new company has new innovations and or is coming into the market and they are using a Penetrating effort to get all the possible Share of the market they can get. Such as the new company has a better product, the latest devices and has brought something NEW to that Market.
They are going to kill the existing market. A decent example is when shaving cream was put into cans compared to the old bar soap shaving products or the tubes of shaving cream. The Spray Cans had an old product but a new innovation and they Killed the competitors with their old bar soap products with a lather brush. The existing companies were gone in a heart beat.
The existing companies should always learn to keep a close eye on compeitors to keep in step with new innovations in their market.
And when a new company comes in and is penetrating they are going after the existing clients that are not totally Brand Loyal and are trying to save money. That means existing companies can not over price their products and expect their clients to continue to pay much higher prices with little or no added benefit compared to the cheap company.
Lastly, what if the new company is an innovator and they not only begin to take your clients but also begin to take your employees as well? This is just one reason for continued market research to improve products, develop better methods of using the products and making that product better for your clients and offering the best value to your clients with your products.
Competition generally makes the life of the people better because of the above. The only example I can think of when a competitor came in and ended up making the life of their clients worse and remain in business is a large well known discounting company that would come into a town open a store, compete with the local stores and put them out of business and when sales dropped or a level wasnt reached for sales the company would close that store and that meant that the clients who had been well served in the past now had to travel 50-150 miles to purchase items that they had purchased from the discount store before. Which does not happen that often but does happen.
Now that I have almost touched the surface of your question I .
Is cllege business licence valid for garment selling business?
This is more of a legal question. You need to list this one on the legal site.
What are the legal requirements of cooperatives business?
Forming a Cooperative
Forming a cooperative is different from forming any other business entity. To start up, a group of potential members must agree on a common need and a strategy on how to meet that need. An organizing committee then conducts exploratory meetings, surveys, and cost and feasibility analyses before every member agrees with the business plan. Not all cooperatives are incorporated, though many choose to do so. If you decide toincorporate your cooperative, you must complete the following steps:
- File Articles of Incorporation. The articles of incorporation legitimizes your cooperative and includes information like the name of the cooperative, business location, purpose, duration of existence, and names of the incorporators, and capital structure. Once the charter members (also known as the incorporators) file with your state business entity registration office and the articles are approved, you should create bylaws for your cooperative.
- Create Bylaws. While the law does not require bylaws, they do need to comply with state law and are essential to the success of your cooperative. Bylaws list membership requirements, duties, responsibilities and other operational procedures that allow your cooperative to run smoothly. According to most state laws, the majority of your members must adopt articles of incorporation and bylaws. Consult an attorney to verify that your bylaws comply with state laws.
- Create a Membership Application. To recruit members and legally verify that they are part of the cooperative, you must create and issue a membership application. Membership applications include names, signatures from the board of directors and member rights and benefits.
- Conduct a Charter Member Meeting and Elect Directors.During this meeting, charter members discuss and amend the proposed bylaws. By the end of the meeting, all of the charter members should vote to adopt the bylaws. If the board of directors were not named in the articles of incorporation, you must designate them during the charter meeting.
- Obtain Licenses and Permits. You must obtain relevant business licenses and permits. Regulations vary by industry, state and locality. Use our Licensing & Permits tool to find a list of federal, state and local permits, licenses and registrations you'll need to run a business.
- Hiring Employees. If you are hiring employees, read more about federal and state regulations for employers.
Each state will have slightly different laws that govern a cooperative. Consult an attorney, your Secretary of State or State Corporation Commissioner for more information regarding your state's specific laws.
Cooperative Taxes
Most businesses need to register with the IRS, register with state and local revenue agencies, and obtain a tax ID number or permit. A cooperative operates as a corporation and receives a "pass-through" designation from the IRS. More specifically, cooperatives do not pay federal income taxes as a business entity.
Instead, the cooperative's members pay federal taxes when they file their personal income tax. Members pay federal and state income tax on the margins earned by the cooperative, though the amount of taxation varies slightly by state. Cooperatives must follow the rules and regulations of the IRS's Subchapter T Cooperatives tax code to receive this type of tax treatment.
To file taxes on income received from cooperatives, please refer to IRS instructions on how to file Form 1099-PATR . More information about taxable distributions received from cooperatives is available at IRS.gov. If you create a consumer cooperative for retail sales of goods or services that are generally for personal, living, or family, you will need to file Form 3491 Consumer Cooperative Exemption Application for exemption from Form 1099-PATR.
Some cooperatives, like credit unions and rural utility cooperatives, are exempt from federal and state taxes due to the nature of their operations. Check with your state's income tax agency for information about state taxes.
Advantages of a Cooperative
- Less Taxation. Similar to an LLC, cooperatives that are incorporated normally are not taxed on surplus earnings (or patronage dividends) refunded to members. Therefore, members of a cooperative are only taxed once on their income from the cooperative and not on both the individual and the cooperative level.
- Funding Opportunities. Depending on the type of cooperative you own or participate in, there are a variety of government-sponsored grant programs to help you start. For example, the USDA Rural Development program offers grants to those establishing and operating new and existing rural development cooperatives.
- Reduce Costs and Improve Products and Services. By leveraging their size, cooperatives can more easily obtain discounts on supplies and other materials and services. Suppliers are more likely to give better products and services because they are working with a customer of more substantial size. Consequently, the members of the cooperative can focus on improving products and services.
- Perpetual Existence. A cooperative structure brings less disruption and more continuity to the business. Unlike other business structures, members in a cooperative can routinely join or leave the business without causing dissolution.
- Democratic Organization. Democracy is a defining element of cooperatives. The democratic structure of a cooperative ensures that it serves its members' needs. The amount of a member's monetary investment in the cooperative does not affect the weight of each vote, so no member-owner can dominate the decision-making process. The "one member-one vote" philosophy particularly appeals to smaller investors because they have as much say in the organization as does a larger investor.
Disadvantages of a Cooperative
- Obtaining Capital through Investors. Cooperatives may suffer from slower cash flow since a member's incentive to contribute depends on how much they use the cooperative's services and products. While the "one member-one vote" philosophy is appealing to small investors, larger investors may choose to invest their money elsewhere because a larger share investment in the cooperative does not translate to greater decision-making power.
- Lack of Membership and Participation. If members do not fully participate and perform their duties, whether it be voting or carrying out daily operations, then the business cannot operate at full capacity. If a lack of participation becomes an ongoing issue for a cooperative, it could risk losing members.
What is history of Thor Power Tool Co?
Started in 1880s making pneumatic tools. Eventually moved into hand, power & electric tools. In mid to late late sixties acquired by Stewart-Warner.
Why are some countries more entrepreneurial than others?
Those countries that are more have better resources and an open economy.
Explain the contribution of purchasing function to profitability and efficiency of an enterprise?
You have to purchase products in order to make a profit. If you just say you have a product and then don't sell it, you will become broke.
How old do legally have to be to start your own business?
Tricky question. You can be in business to throw papers at an early age. You can also cut yards. But, to own a legal business outright and in your own name only that has a Tax ID number and or is incorporated or has a filed DBA you must be of a legal age of 21. Which means that you can enter into a legal contract with any potential clients and or suppliers and be held personally responsible.
How much should a silent partner get?
a silent partner investing 25.000 into a business of 350.000 turnover a year how much percent should he get
