1.4 Mindmap - Types of Business and Forms of Business Ownership
Partner 2
Sole Proprietorship - A business that legally has no separate existence from its owner. Income and losses are taxed on the individual's personal income tax return.
Example 1: Tutoring - Tutors do not work with others and have a small business where they work alone.
Example 2: Housecleaners - Housecleaning services do not require a high start up cost for their business and they do not need to cooperate with anyone else or expand their small business
Partnership - A legal form of business operation between two or more individuals who share management and profits
Example 1: Apple + Hermès - Hermès is a well known company that sells luxurious watches for a high price. Apple is a technological company which sells smart phones and smart watches. Hermès provides Apple with straps for their Apple Watches and will continue for a very long time
Example 2: Starbucks + Spotify - Starbucks plays music in their stores from the music app called Spotify. Spotify made a partnership with Starbucks so when someone enjoys a song inside of a Starbucks, they can go on the Starbucks app and find out what song is playing!
Corporation - A company or group of people authorized to a single entity. A corporate is known to be the best way to start a business.
Example 1: Google LLC is an American multinational technology company that specializes in Internet-related services and products, which include online advertising technologies, search engine, cloud computing, software, and hardware
Example 2: Microsoft Corporation (MS) is an American multinational technology company with headquarters in Redmond, Washington. It develops, manufactures, licenses, supports and sells computer software, consumer electronics, personal computers, and related services.
Franchise - An authorization granted by a government or company to an individual or group enabling them to carry out specified commercial activities
Example 1: Burger King - In 1954, James McLamore and David Edgerton opened their first Burger King restaurant. Now, they have over 11,300 stores in 50 states and 69 countries.
Example 2: McDonald's - Currently, McDonald's has franchised about 80% of its restaurants, while the remainder is owned and operated by the company. Each of the company's franchisees usually has a standard 20-year franchise license.
Co-operative - A cooperative is a private business organization that is owned and controlled by the people who use its products, supplies or services.
Worker Co-operatives
Credit Unions
Partner 1
Services - A service type of business provides intangible products (products with no physical form). Service type firms offer professional skills, expertise, advice, and other similar products.
Example 1- Tim Horton's: Tim Horton's was founded in Hamilton on May 17th, 1964 by Tim Horton and Ron Joyce! As of 2017 Tim Horton's has 4,613 locations and roughly 100,000 employees. They are known for their amazing service and their rich and freshly brewed Coffee! Ever since Tim Horton's was founded it has been a Canadian staple ever since!
Example 2 - Air Canada: Air Canada is a Canadian airline and was founded in 1937. They have had over 25 million customers and the airline has over 200 planes!
Merchandising - The Merchandising sector of business commonly known as the Retail sector of business generally revolves around clothing. A Retail company is a business that sells a product that they didn’t produce.
Example 1 - Roots: The Canadian clothing company Roots was founded in 1973 by Michael Budman and Don Green. Together, they would create one of Canada's most iconic brands. The company Roots has a yearly profit of $410,000 - $450,000! Roots Canada currently has 120 locations across Canada
Example 2 - Canada Goose: The infamous Canadian company Canada Goose was founded in 1957 by Sam Tick. The company is currently one of Canada's most known Jacket brands and has a yearly profit of $222M dollars!
Manufacturing - The Manufacturing sector is simply apart of the goods-producing sub-sector group of industries. The Manufacturing industry comprises establishments engaging in mechanical, physical, or chemical transformations of materials.
Example 1 - Milo Enterprises: The manufacturing company Milo Enterprises was founded by Anthony Liu and was founded in 2006. The company proudly started as a small family business and stand proud today with our operations expanded globally. In 2016 the company made $10-$20 million dollars!
Example 2 - FixMeStick: The manufacturing company would founded by Marty Algire in 2011. The company removes unwanted viruses and acts as a protector for your computer!
E-commerce - E-commerce, also known as electronic commerce or internet commerce, refers to the buying and selling of goods or services using the internet, and the transfer of money and data to execute these transactions.
Example 1 - Amazon: The iconic e-commerce company Amazon was founded in 1994 by Jeff Bezos. The Amazon headquarters is located in Washington and has a yearly profit of 6.1B dollars! The company has over 310 million active customers! Ebay and Amazon are constantly fighting to see who can be the e-commerce company!
Example 2 - Ebay: The exemplary e-commerce company Ebay was founded in 1995 by Pierre Omidyar. The company has 179 million active customers and has a yearly profit of 1.9B dollars!
Non-Profit - The voluntary sector or community sector is the duty of social activity undertaken by organizations that are nonprofit organizations and non-governmental.
Example 1 - Me-To-We: The non-profit organization was founded by Craig Kielburger in 2008! The non-profit organization helps the less-fortunate and helps better the lives of millions every year.
Example 2 - Canadian Red Cross: The non-profit organization was founded by George Ryerson in 1896. The Canadian Red Cross Society is a Canadian humanitarian charitable organization, and one of 190 national Red Cross and Red Crescent societies. The organization receives funding from both private donations and from Canadian government departments.