The introduction of the factory system changed the way business is organized and goods and services are produced. It engendered the concept of big business and big industry. However, production on a smaller level did not vanish altogether. At times the older production processes were followed, and at times the factory system on a smaller level was the way to go.
Today, small business is not just any business process carried on a smaller level; it is much more. Small business might have different legal definitions in different jurisdictions, but they do not usually employ more than 100 people within one establishment. Usually they cater to a niche customer base. Their produce is either of better quality, or has a certain charm which provides ‘novelty value’. Usually, but not always, they use rudimentary techniques, perform a larger proportion of their work by hand or through traditional methods, and their production capacity per unit capital, are low. To maintain their small business status which entitles them to certain benefits like subsidized loans, easy power, lower taxes, etc, they are required to keep their capital investment capped under a limit, keep employee count limited, and produce only selected items.
Small business is a very challenging field and competition with larger businesses is driving many of them into non-existence. New business practices, the trend of mergers and acquisitions, a shrinking market, public and governmental apathy, etc are driving small businesses against the wall. At the same time, changing lifestyles, new markets and niche areas, as well as the internet provide many entrepreneurs with excellent opportunities for development. Before one jumps into this type of business, it is very important to know all relevant factor involved. This section of the webdirectory provides access to the world of small business to answer all your questions, and meet all your needs.