Entrepreneurship unit 1

Stats about entrepreneurs

62% of US billionaires are self-made

60% of people who start small businesses are between the ages of 40 and 60

There are 582 million entrepreneurs in the world, of which, only 3.5 million are in Canada.

Small and medium sized businesses employed 14.3 million people in the first quarter of 2022

stages of planning

typically includes identifying goals, researching the market, budgeting, and creating an action plan that includes ways to combat competition and shortcomings

What is an entrepreneur

Takes initiative by organizing a venture to take benefit of an opportunity

decides what, how, and how much of a good or service will be produced

Supplies risk capital as a risk taker and monitors/controls business activities

Usually a sole proprietor, a partner or the one who owns majority of the shares in an incorporated adventure

The goal of entrepreneurship

Recognizing a business opportunity starting a business based on the recognized opportunity and operating and maintaining that business

Importance of entrepreneurship

I’ve created some of the best inventions and businesses in the world

Change the lives of all, and impacted the economy in a beneficial manner

Improve productivity, inspires innovation, and creates jobs

Types of entrepreneurship

Business: has an idea, product, or service for the business world

Social: has innovative ideas for social change, solutions, etc.

Serial: has multiple startups due to new ideas

Lifestyle: search up their businesses due to lifestyle such as sports, hobbies, or passions

Why do people want to become entrepreneurs

To change the world, they want to be their own boss, they want to work flexible hours and work from anywhere, to leave their job, to pursue a dream, they thought of a great idea

Pros and cons

Pros:

• Freedom

• Flexibility

• Control

• Profits

Cons:

• Responsibility

• Risk

• Workload

• Financial limitations

Characteristics of a successful entrepreneur

Risk taker, innovative, leader, open-minded, flexible, knowledgeable, confident, determined

Types of businesses

Manufacturing: produces the products that they sell

Retailing: sells products directly to the people

Wholesaling: sell products to other businesses rather than the final consumer

Service: sells services rather than products

Green: focused on being organic and eco-friendly

Social: find innovative solutions society‘s most pressing problems

Types of ownership

Sole proprietorship: not illegal entity, refers to one person who is personally responsible for a business and it’s debts

Partnership: A single business or two or more people share ownership

Corporation: independent legal entity owned by shareholders; The corporation is liable for actions and debts

Limited liability: A hybrid legal structure that provides a limited liability features of corporation and the tax efficiencies and operational flexibility of a partnership; owners are called members

Steps to becoming an entrepreneur

Have an idea, identify solvable problems, have knowledge in your field, ensure financial stability, have passion and apply it to your business, be adaptable and handle the challenges, keep current and growing