RSM100Y1 Chapter Notes - Chapter 5: Small Business Administration, Liberty Tax Service, Small Business
Document Summary
Chapter 5: forms of business ownership and organization. More than 97% of all canadian businesses employ fewer than 100 people. Small businesses employ people other than the owner but other businesses are self- employed businesses. Setting up a self-employed business is not the same as running a business that employs other people. Government agencies offer benefits to help small businesses compete with larger firms. Most small businesses get bought out by larger firms: business that sell personalized services, rely on certain locations, and keep their overhead costs low are not very likely to be gobbled up by bigger firms. Small businesses account for more than 2/3 of employment in 5 canadian industry categories: non-institutional health care, construction, accommodation and food, forestry, and other services. Approximately 25% of small businesses operate in goods-producing industries, 75% in service industries. Small businesses meet the needs of consumers that large firms can"t. Small businesses plays a major role in agriculture: e. g. family farm.
