INTRODUCTION TO SMALL SCALE BUSINESS

Sometimes called a small business, a small-scale enterprise is a business that employs a small
number of workers and does not have a high volume of sales. Such enterprises are generally
privately owned and operated sole proprietorships, corporations or partnerships. The legal
definition of a small-scale enterprise varies by industry and country. Small-scale enterprises exist
in almost every industry. They can range from mom-and-pop convenience stores to small
manufacturing plants. Additional types of small-scale enterprises can include privately owned
restaurants, law firms, inns, bakeries, architectural and engineering firms, dry cleaners and
construction contractors. Small businesses are privately owned corporations, partnerships, or sole
proprietorships that have fewer employees and/or less annual revenue than a regular-sized
business or corporation. Businesses are defined as "small" in terms of being able to apply for
government support and qualify for preferential tax policy varies depending on the country and
industry. Small businesses range from fifteen employees under the Australian Fair Work Act
2009, fifty employees according to the definition used by the European Union, and fewer than
five hundred employees to qualify for many U.S. Small Business Administration programs.
While small businesses can also be classified according to other methods, such as annual
revenues, shipments, sales, assets, or by annual gross or net revenue or net profits, the number of
employees is one of the most widely used measures.

Small businesses in many countries include service or retail operations such as convenience
stores, small grocery stores , bakeries or delicatessens, very small-scale manufacturing, and
Internet-related businesses such as web design and computer programming. Some professionals
operate as small businesses, such as lawyers, accountants, dentists and medical doctors (although
these professionals can also work for large organizations or companies). Small businesses vary a
great deal in terms of size, revenues and regulatory authorization, both within a country and from
country to country. Some small businesses, such as a home accounting business, may only
require a business license. On the other hand, other small businesses, such as day
cares, retirement homes and restaurants serving liquor are more heavily regulated, and may
require inspection and certification from various government authorities. The type of business
that we have chosen falls under this category. Boutique is a small scale based business that does
not require much investment and employees or workers to carry on the day to day activities of
the business.

INTODUCTION TO THE TEXTILE INDUSTRY

India has been in the midst of a great social, political and economic change ever since reforms
were introduced in various spheres of activity. The country has greater confidence to take on the
competition from developed countries and has attracted global investors in ever increasing
measure. The Textile industry is one of the oldest industries in India. The sector has made
significant contributions in terms of foreign exchange earnings and employment and is one of the
mainstays of the economy. Indian Textile Industry occupies a very important place in the
economic life of India. The Indian textile industry is one of the largest in the world with a
massive raw material and textiles manufacturing base. Our economy is largely dependent on the
textile manufacturing and trade in addition to other major industries. About 27% of the foreign
exchange earnings are on account of export of textiles and clothing alone. The textiles and
clothing sector contributes about 14% to the industrial production and 3% to the gross domestic
product of the country. Around 8% of the total excise revenue collection is contributed by the
textile industry. So much so, the textile industry accounts for as large as 21% of the total
employment generated in the economy. Around 35 million people are directly employed in the
textile manufacturing activities. Indirect employment including the manpower engaged in
agricultural based raw-material production like cotton and related trade and handling could be
stated to be around another 60 million. A textile is the largest single industry in India and
amongst the biggest in the world, accounting for about 20% of the total industrial production. It
provides direct employment to around 20 million people. Textile and clothing exports account
for one third of the total value of exports from the country. There are 1,227 textile mills with a
spinning capacity of about 29 million spindles. While yarn is mostly produced in the mills,
fabrics are produced in the power loom and handloom sectors as well. The Indian textile industry
continues to be predominantly based on cotton, with about 65% of raw 3 materials consumed
being cotton. The yearly output of cotton cloth was about 12.8 billion m about 42 billion ft. The
manufacture of jute products (1.1 million metric tons) ranks next in importance to cotton
weaving. Textile is one of India’s oldest industries and has a formidable presence in the national
economy in as much as it contributes to about 14 per cent of manufacturing value-addition,
accounts for around one-third of our gross export earnings and provides gainful employment to
millions of people. They include cotton and jute growers, artisans and weavers who are engaged
in the organized as well as decentralized and household sectors spread across the entire country.
With the textile sector continuously booming over the recent decades we found boutique as the
best fit for our business. As people are becoming more and more aware of the various trends in
the market and prefer to dress fashionably, they are looking for various styles, and trends that
would make them feel comfortable and satisfied with the type of clothes they buy. People’s
fashion sense has increased variedly to a great extent in India. So we felt opening a boutique
store would be the optimum and best option for us.