Let us tell you activity wise what do small businesses serve at all?

Small Businesses are spread throughout the country and are economically significant in every region, although the balance of large and small businesses varies from region to region. These kinds of business form a very significant component of the Indian economy, in terms of employment to the Exchequer, and the role they play in the social and enterprise infrastructure.

But the question is what kind of services exactly they perform to carry out the economy of the countries like India?

·         Trading and repair services:  This is one of the predominant service activities in the country and consists of 13.95 Million enterprises, constituting over 61 per cent of the total service enterprises.

·         Hotels and restaurants: There are about 1.43 Million enterprises engaged in this activity.

·         Transport, storage and communication: There are about 3.18 Million enterprises engaged in this activity.

·         Financial intermediation: Around 0.14 Million enterprises fall under this activity.

·         Real estate, renting and business activities: 0.61 Million enterprises are engaged in this activities and a significant proportion fall under the category of micro, small and medium enterprises.

·         Education: Education services include 0.46 Million institutions who are engaged in research and development, teaching and training service.  

·         Health and social work: There are about 0.64 million entrepreneurs engaged in this activity.

·         Other Community, social and personal service: There are about 2.32 million enterprises engaged in this activity.

What are the limitations of Small business start-ups?

Owning a small business gives one the independence and freedom most people cannot enjoy. Owning a small business can also give the ability to connect with many other small-business owners through networking.

But before starting a small business one has to understand the limitations of small business start-ups, which are:

·         Low capital base,

·         Concentration of functions in one or two persons

·         Inadequate exposure to international environment

·         Inability to face impact of WTO regime

·         Inadequate contribution towards R & D

·         Lack of professionalism

And we have seen that due to slow down of economy in India and abroad, and particularly USA and European Union and enhanced competition from China, few small businesses have been facing a tough time. But those who have strong technological base international business outlook, competitive spirit, willingness to restructure themselves, could withstand the present challenges and come out with shining colours to make their own contribution to the Indian economy.

Is Franchising Your Business For You?

Franchising your business can be an excellent way of expanding your company's profile in any locations, states and nations. When you make the plan to franchise your business, you basically give rights to investors to use your trademarks, logo and proven business who in return of this pay you a fee on some pre-defined terms. Even if franchising is popular for many companies, it is not always necessary that it will be for your business concept too. Not all businesses can enjoy the benefits of franchising.

To franchise your business in a fruitful manner, a lot of preparation is required from your end. In fact, you should think about franchising only if your business is ready to franchise. The conclusion must be made from your end. But the question is how? Well it is very easy, just get answers to some questions such as: Is franchising right for you? Is your business expandable? Will the target audience like your products or services? Having answers to these questions will give you an idea whether your business is ready to become a franchise.

In fact, if you are not able to analyze yourself, take help of a franchise consultant. There are many companies and firms who offer franchise consultancy and are ready to help you in all possible manner.

A franchise consultant will help you to know:

·         The unique characteristics of your business that might help in franchising your business. For any franchise business to be successful there are certain elements such as unique product line, quality management, easily manageable concept and so on.

·         There has to be something unique about your product or service that investors might be interested upon to invest in your franchise concept. This unique element must be the highlighted part of your franchising network.

·         Market survey by professionals is must to come to a conclusion whether your business can be franchised or not. Franchise consultancy firms will first do a survey of the market to find what whether there is a demand for the products or services your company might be dealing with.

·         Experts will also decide on the budget required to franchise your business. Developing a franchise business needs both time and money. Once you are ready with the franchise proposal, you'll also need to market your franchise opportunity. Financing your franchise expansion is a very important part of your plan to franchise your business.

·         When franchising your business, you need to provide a blueprint of your business operation, training, marketing, financial and legal aspects of the company. By taking help of experts you can successfully franchise your business.

·         There are many franchise consultancy firms who even help in preparing a franchise agreement and business proposal that are must when you decide to franchise your business. It is the detailed business proposal that will attract investors towards your business concept, and on the other hand without franchise agreement no one will take your business as a genuine one.

To conclude, taking help of a franchise consultant helps in franchising your business in a legal manner and in a way that can help you earn profit. Hence, if you have an established, successful business franchising your business is just the right option for you to consider.

Being an Entrepreneur can Encourage Personal Growth

It has been said that in order to be an entrepreneur a person has to be selfish and self-centered so that they can achieve their goal. While success in any field requires dedication and focus it is disingenuous to tar all wannabe entrepreneurs with this rather outdated brush.

The truth is somewhat different. In reality, to become successful a person has to develop a number of characteristics that are all positive and will in fact help that person become a more rounded human.

The bottom line is that becoming an entrepreneur can assist personal growth in a number of ways that are key not just to successful business but also to the enhancement of an individual’s standing.

Sacrifice

To be a successful entrepreneur there is little doubt that sacrifices will have to be made. These could be a reduction in social life, getting up earlier than you might ideally like or working away from home. None of these situations should be forever, but many successful businesses require a much bigger commitment than the normal 9 to 5 of the world of the employee. Understanding and experiencing this can help the entrepreneur grow as an individual as they learn the importance of sacrifice in certain situations and how sometimes present hardships and inconveniences are not just inevitable but should be welcomed as they can help guarantee a brighter future.

Decision making skills

Another way in which the entrepreneur can develop their personal growth is through the process of decision making that is central to successful business. Being an entrepreneur means having to make a lot of decisions, some harder than others. This helps build judgment and a willingness to take those tough decisions when they come along. Becoming a person who does not shy away from decisions and can take control when others are hesitating can help personal growth.

Confidence

In many ways the one single attribute that separates those who succeed and those who do not is not money, influence or knowledge but confidence. This is not to be confused with over-confidence or arrogance, but rather is a core belief in oneself. After all, if someone does not believe in himself or herself how could they possibly expect others to believe in them? Self-belief translates into confidence that in turn equates to a more fully developed individual. Confidence in oneself is contagious and a person is much more likely to inspire trust and faith in others if they can see that person truly believes in what they are doing.

Planning

This may be somewhat of an umbrella term, but in the case of an entrepreneur it means the ability to formulate a clear, concise and robust business plan that is easy to explain to others (whether that be bank manager, investors or friends). The ability to have a clear plan means that the goals are always in site and a business is much less likely to go off the rails. This ability to plan well is a great way to build personal growth as it helps create clear thinking as well as the real-world benefit of making the most of time so friends and family do not suffer from a badly planned business.

Always Learning

Being a successful entrepreneur means never standing still. No one can know everything and therefore there is never any excuse to stop learning. The business world, just like the world in general is continuously changing and developing. It therefore does not just make business sense to keep abreast of new and interesting developments, but this thirst for knowledge can also be a great aid to personal knowledge that in turn will really benefit an individual’s personal growth.

Networking

A term that sometimes has a negative connotation, networking is in fact a great skill to posses. Not only in the business world where it makes the development of new businesses so much easier, but when these skills are transferred to the personal realm, they make for superb social skills which can make interactions much more pleasurable. As personal growth involves not just the inner being, but the ability to communicate as part of a community, the level to which an individual can engage with people from a wide selection of backgrounds can really help enhance the social experience.

Energy

Often overlooked, the ability to generate energy is of fundamental importance, after all, the greatest car in the world won’t go anywhere without fuel and the same applies to the entrepreneur. This should not be confused with caffeine or currently fashionable “energy” drinks. Real energy does not come from products, but from within. It is generated by a belief in what the business involves as well as its potential. This creates a sense of energy that not only powers the business forward, but also is infectious. This attitude can really enhance personal growth by helping develop a can-do attitude.

Overall, entrepreneurship can truly impact your personal growth in a positive way. Between learning from others through networking but also learned about yourself through the trials and tribulations of the field, being an entrepreneur is surely an educational experience.

From dreaming to doing

Well, you want start a business of your own.. right? But which one? Before you choose a business, it is important to understand that a start-up venture mandates entrepreneur to shoulder every responsibility by himself, ranging from operations to marketing and everything else. Hence, it is a very real probability that you will have to work harder for yourself, than you have worked for any employer.

Hence, before embarking upon the entrepreneurial voyage, first and foremost, it is really critical to dig deep, and find something you love intensely and are extremely committed to. A journey within self, this question enables us to open our mind and explore our past as well as our inner motivations. Don’t allow your mind to be held hostage by various mental blocks and biases, which have the potential to derail our honest self-assessment and cloud our vision. Instead, try to recollect those moments, when you felt vibrant, happy and alive. Remember, doing something we love is more satisfying as well as rewarding, than working for others.

Another important issue related to entrepreneurship is gaining relevant experience in the concerned field. Most entrepreneurs have little or no experience in their fields. Hence, an aspirant many attend seminars or start a job in related field, acquire some training in concerned business and opt for volunteer positions and related hobbies, so as to learn the desired trade.

In addition, one must also martial his network of contacts, to boost his future prospects in entrepreneurship. Whether former employers, teachers, friends and family members, everyone is a potential resource for further business networking. Another important factor to be considered is the resources or assets one possesses. Because if start-up cost is low, more assets mean your chances for success will be much higher,

Finally, before kick-starting our entrepreneurial ambitions, one must prioritize, so as to select a business that perfectly complements his skills as well as lifestyle. For example, if one is good with people, then he must opt for a business that relies heavily on interpersonal activities, such as sales, consulting or PR. The most important thing is to choose a business, which enables entrepreneur to be perfectly suited for its critical functions. Besides, if one wants flexibility in his schedule, then “project-oriented” businesses where keeping regular specific hours is not critical, will be ideal for him.

Remember that most start-up s don’t actually make money in the beginning. Hence, before entering into something that might fetch us enormous money, there’s a lot to consider. A major life decision, start-up businesses require enormous persistence as well as passion for whatever one believes in.