You are on page 1of 12

Many young people ask: -

which small business shall I start with? -


- Answering this question requires recognizing many concepts and
collect a lot of data, then analyze these information before starting
in any project.

Let us that might simplify answering some questions : 

- Are you a persistent person who has got patience, endurance and the
ability of movement?
- Do you have the skill to negotiate with others?
- Do you have an idea; even a simple one; about feasibility studies?
- Are you experienced in the field of the project which you intend to
establish?
- Do you recognize the entities you shall deal with?
- Do you know your customers “your project target group”?
Establishing Small Enterprises
- Do you have the skills of small enterprises 
management?
- Do you have market knowledge? 
- Do you have funding resources knowledge? 
- What is your information about dealing with 
taxes and insurance entities?
If we honestly answer the above questions; 
and are totally convinced with the idea of
small enterprises; we can start immediately to
study a small enterprise, before beginning to
establish it of course.
Many specialists have classified enterprises as 
follows:
- Micro-Enterprises
- Small Enterprises
- Medium Enterprises
- Large Enterprises
- Gigantic Enterprises
- Transcontinental Enterprises
A project is defined as a small enterprise if it has
the following features:
- The number of its employees is between 5 -15.
- The project managers are its owners “a dominant
feature”
- Its ownership belongs to one person or a small
group of people.
- The project practices its business in a local area.
- The project is characterized with its small size
and limited activity.
Business domains for small Enterprises:

It can be said that business fields for small


enterprises are limited in the following four
aspects:

- Industrial
- Commercial
- Service
- Agricultural
The importance of small enterprises can be
summarized in the following points:

- Providing job opportunities.


- The ability to compete.
- Creativity and innovation.
- Fulfillment of consumer needs.
- The difficulty of attracting
experienced skilled people.

- The nature of human resources.


- Constraints concerned with funding small 
enterprises.
- Constraints concerned with insurance and 
taxes.
- The difficulty of providing training courses 
and programs; or product development.
- Competition. 
- The time factor , of projects establishment. 
- Resources and prices problems.
- Funding and taxes problems.
- Problems related with employment trials and
evaluation.
- Problems related with marketing.
- Problems related with the owner personal
characteristics.

You might also like