The Dynamic Role of a Small Business

1
The Dynamic Role of a Small Business

• Chapter 1

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Who are these people?
Bill Gates
Sam Walton
Bill Rosenberg
Fred Deluca
Richard Branson
Ray Kroc
Debbi Fields
What did they start with?
3
What is a Small Businessand whyis it important?
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Reasons for increased interest in small business

• Number of small businesses is ______________
  rapidly
• Every year about 750,000 people in the US start a
  business
• Public ___________ small business
• Increasing _____________ at high schools and
  universities
• Growing trend toward ____________
• Small business _________to all ages

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Classification of Businesses by Size, According
to SBA

• VERY SMALL
• Under 20 employees
• MEDIUM
• 100-499
• employees

• SMALL
• 20-99
• employees
• LARGE
• More than 500 employees

The IRS classifies 96 of American Businesses as
small
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Small Business vs. Entrepreneurial Ventures
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Small Business

• Established to further ______________and make a
  ___________
• ______________ owned and operated
• not __________ in its field

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Entrepreneurial Venture

• ___________are profitability and growth
• objectives achieved through innovation and
  __________ management
• ____________ may eventually become an
  entrepreneurial venture

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Contributions of Small Business

• Maintain close __________ with customers and
  community
• Keep larger firms ________________
• Provide employees with _____________ learning
  experiences
• Develop ___________________
• Generate ___________________

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PROBLEMS FACINGSMALL BUSINESS

• Lack of
• Govt regulations (red tape)
• Competition from companies
• Management

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Current Challenges to Entrepreneurs and Small
Business Owners

• Diversity in the workforce
• Empowering employees
• Work team performance
• Exploding technology
• Occupational and industry shifts
• Global Challenges

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Entrepreneur Characteristics

• Confidence
• Drive
• Risk-taker
• Competitive
• Organized
• OPTIMISTS

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Entrepreneur

• ADVANTAGES
• Independence
• Satisfaction
• Financial Reward
• Self-Esteem

• DISADVANTAGES
• Failure
• Obstacles
• Loneliness
• Financially Insecure
• Long Hours
• Hard Work

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SBASmall Business Administration

• Helps to start, build
• and grow businesses
• Supplies aid, counseling, assistance
• and protection to small businesses.
• www.sba.gov