As Business Studies Unit 1 Revision Notes
Unit 1 Business- Revision * Enterprise- The ability to handle uncertainty and deal efficiently with change. * Entrepreneur- someone who has a flair for business ideas and has the confidence to take the risks involved in setting up a business. * Successful entrepreneurs: * Passion * Motivate people around them * Determined to succeed * Self-belief * Common characteristics of successful entrepreneurs: * Self-confidence- believe in your ideas; products and be able to motivate others. * Initiative- being prepared to start something. * Hard working- not easy to set up a business. * Creativity- inventing new products, finding new ways to do things. * Resilience- be prepared to redesigned and rethink, don’t let setbacks put you off. * Taking risks. * Small Businesses: * Less then 50 employees * Value of sales less then £2.8 million * Value of balance sheet is less then £1.4million * Why do people set up businesses? * Be your own boss * Work from home * Help others * Gap in market * Redundancy * Peruse a hobby * Make money * Risks: * No job security * Loose money * Others could copy idea * May not have regular income * Debt * Competition * Demand for product falls * Rewards: * Enjoy * Personal pride/satisfaction * MAKE MONEY * Satisfied customers * Provide employment * Benefit family * Government Support * Financial- grants, subsidies, tax cuts and loans. * Provide info and support- websites e.g. business link * Create enterprise zones * Reduce regulation- red tape * Revenue expenditure is every day expenditure – gas, electricity, paying suppliers