What is a small business, how to start one and what is its significance? IntroductionA small business is defined by its operations, characteristics and the revenue it generates. There are four basic businesses are sole proprietorship, partnership, corporation and non-profit business. Of these four, only two fall into the "small business" category. Sole proprietorship and partnership mainly fall under small businesses; because of their internal structure they have more limitations and more competition than any large company. This does not imply that small businesses cannot grow into multinational giants. The first examples to note are Apple or Microsoft. Many think that owning or starting a small business is a waste of time and money and that it doesn't contribute much or have any significant value to them. They couldn't be more wrong. The impact that small businesses as a whole have on the region or country is substantial when you look at the country's overall revenue or look at any of the subtopics found in Canadian Statistics. The purpose of this particular formal report is to provide an elaborate guideline on how to open a small business, considering it has the motivation and resources. Even a little luck can go a long way. There are thousands of steps to take before you can cut the red ribbon. Figuratively speaking, there are many legal obligations and political formalities to complete before giving the green light to your business. This report will summarize the points and delve into those particular areas that need more attention and time. Throughout history there has been a great fear that average citizens would want to stay...... middle of paper... ...enter with determination and solid foundations, also not giving up at the first sight of trouble. There is always so much good coming if you are prepared and willing to accept change. Once your business is up and running, it has formed the foundation to have the potential to succeed. That doesn't mean it will; many businesses have failed within six years of their founding (refer to Figure 1.1). This is due to negligence and anticipation of commercial potential. Many young owners get caught up in their first year of success and that's where the real problem lies. You want your business to last for decades and sometimes even outlast your lifetime. For this to become reality, the company must continue to refer to those fundamentals and continually renew its values ​​and objectives. This is the true formula for a successful business.