What are the categories of small business?
Small-scale business is a type of enterprise where goods and services are produced on a smaller scale.
It is the main source for economic development in the country.
You can choose to lease the equipment or make an initial investment in machinery and plants.
Pens, chocolate, toothpicks and candles are some examples of small-scale businesses or industries in India.
Find out about small business characteristics
Small businesses are usually owned by a single person. Also known as a single proprietorship.
Management: All management work is done by the owner of a small business.
Only small businesses can operate in certain areas. They may be local shops or businesses in a single industry.
Small businesses are largely dependent on labour. Most of the work is done by manpower and labor.
Flexible: Small business are open to sudden changes and can adapt quickly, unlike large industries.
- Organised through private and single resource
- Local talent and family labour
- Simple instruments can be used
- Small capital investments
- Production of small goods
- Make use of indigenous technology
- Small business written on wooden planks with a cup of coffee on a wooden table
- In conclusion
The scope of the small business sector in India is vast. It includes significant activities which are a major contributor to the growth of the GDP in the country. The National Taskforce for the Development of Small and Medium Enterprises.