A company like GWC USA Inc is a chain business and they serve many different types of businesses and several different organizations. Most businesses are small businesses and in Canada, there are approximately 97% of firms that actually have less than 100 employees on staff and there are around 2.7 million self-employed individuals. Many people think about business as large corporations but small businesses are a strong engine in our economy as well as a launching pad for entrepreneurs. When it comes to typical small business ventures, there are several home-based businesses which has been increasing in the last decade and is a fast-growing trend. The benefits of a home-based business is that it allows you to have more control of the business, allows for more personal time which means you’ll be less stressed, and keeps start-up and operating expenses low since you don’t have to rent out any space and they have the ability to schedule work based on their personal time schedule. There are also several drawbacks since the owner can feel isolated if they are always working alone at home and the business has less visibility to customers since there are no signs that are visible.
When it comes to small businesses, they contribute lot to the economy since they are the ones who are creating new jobs, they account for more than 29% of the GDP, offer customized services, create new industries and they encourage innovation. For small businesses, they all have a niche therefore their competition versus larger firms is larger and they always offer customized services to their customers.
Some small businesses fail because entrepreneurs may be highly motivated but they should be aware of the statistics and acknowledge the shortcomings that they may have and bring to the business. Entrepreneurs take risks everyday trying to succeed since 4% of small businesses close after one year, 15% of small businesses close permanently after three years and it gets even worse since 30% of small businesses fail within five years.