Before starting a business, an entrepreneur will want to “test” the business plan by asking some people with knowledge and experience to look over the plan and provide opinions on it. If the entrepreneur is trying to raise money for the business, those considering investment will be one test for the plan.There are organizations that will try to help entrepreneurs by reviewing their business plans. Learn more
To be successful, a new business will have to respond to a real “opportunity,” that is, address a need, a want, or a problem.An entrepreneur will then set up a business to produce a product or service that responds to the need, want, or problem. If it is a real opportunity, enough people will buy the product or service to enable the business to make a profit. Be aware that many good “ideas” are not “opportunities.” Learn more
Any new business will need a business plan.The business plan will guide the start-up of the business and, if necessary, also be used to help raise money for the business. See page 235 for a list of the sections that are common in a business plan.There are also sample business plans and business plan guides available on the Internet. Learn more
Small and medium-sized businesses are the most common in Canada and create many new jobs.That is why governments try to encourage and assist new business startups. There are programs to help people develop skills, develop business plans, and obtain money to start up a business. See page 234 for some of the key organizations that try to help new entrepreneurs. Learn more
An entrepreneur is a person who identifies a product or service that is needed and starts a business to provide that product or service. Successful entrepreneurs are usually those who love what they do, have a strong desire to accomplish personal goals, are good team builders, and are willing to work hard. Entrepreneurs often help to increase and improve jobs, competition, quality, and incomes in their communities. Are you a prospective entrepreneur? See page 234 to learn more about the characteristics of an entrepreneur. Learn more.
Anyone who wishes to is free to try to start a business in Canada so long as it fits within the laws and regulations that govern business activity. Starting a business is not easy, but it can be very rewarding. It is important to have experience and to understand what will be involved. A business needs a good business plan and enough money to support it.A business must also provide a product or service that enough people will want to buy so that the business can make a profit. Learn more
A privately owned business (owned by an individual, partners, or shareholders) will try to earn a profit to stay in business. A business will incur costs to produce goods and services and will earn revenues from the sales. If the revenues are greater than the costs, the business makes a profit.A business will need to make a reasonable profit to stay in business or else the owners will seek out some other form of work in order to generate the return on their investments of time and capital that they desire. Learn more
There are a number of different types of businesses in Canada. A sole proprietorship is owned by a single individual (this is often a small business and the most common type of business in Canada).A partnership is owned and operated by two or more people or groups working according to a business agreement.A corporation is a “legal entity” and owned by shareholders.A co-operative is owned by members of the co-op. Learn more
Employees will have some common expectations of employers. Employees will expect to work in a safe and clean environment, receive proper training and preparation, work with equipment that is in good condition, be paid appropriately and on time for service rendered, and be treated fairly in all work-related matters.
If a business’s income and assets cannot cover its debts, the company may have to file for bankruptcy. If so, the assets of the company will be sold to try to raise money to pay off the debts. If the business is not incorporated, the personal assets of one or more of the owners can be seized and sold to cover the debts.A corporation can file for protection from creditors to try to restructure the company to save it from bankruptcy. Learn more