Essay on Assignment Task 1 Small Bsn Ent SBE

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ICON COLLEGE OF TECHNOLOGY AND MANAGEMENT

HND IN BUSINESS MANAGEMENT

COURSEWORK: SMALL BUSINESS ENTERPRISES

TUTOR:

SUBMITTED BY: 13034

ASSIGNMENT
TASK1
INTRODUCTION:
Small business are the most popular and flourishing business enterprises that abounds most in United Kingdom they span from the small corner shop, groceries, restaurants to the larger retail stores as categorised in their limited turnover and number of employees they employ.
DEFINITION:
There is no single definition of small business enterprise but the most reliable and widely used is the Bolton report of 1971 which states that a small business enterprise is an independently personalised managed organisation with a relatively small share market capital, having taken into consideration the fact of its size and turnover.
It gives as an example the followings:
A turnover of £2.8million
A balance sheet of more than £1.4million
A total number of employee of not more than 50
It also stipulates that a medium sized company must satisfy at least 2 of the followings
A turnover of not more than £11.2million
A balance sheet of not more than £5.6million

Another definition from the small business acts for Europe says it is an enterprise which employs fewer than 250 persons and whose annual turnover does not exceed 50million euros or whose annual balance sheet does not exceed 43 million euros.
The European community says:
Maximum number of employee should not exceed 49
Annual turnover at 7million Euros
Annual balance sheet 5million Euros
Percentage owned by one or jointly several enterprises not satisfying the same criteria 25%

it is defined by its relatively number of employees generally fewer than 500 employees within a twelve month period.
INVESTIGATION OF SMALL BUSINESS ENTERPRISE:
There were over 300 numbers of small business enterprises within particular geographical settings in Haringey: Grocery and Convenience Shops, Restaurants and Bars, NGO’S, Solicitor firms, Private Clinics, Schools and Colleges etc.

PERFORMANCE MEASUREMENT
Performance measurement is how organisation both public and private measures the quality of their activities and services.
The performance measurement indices of two small business enterprises: Londis and Costcutter stores investigated are illustrated:
Small Business (A) Year 2012
Performance Measurement
Indices
Small Business (B) Year 2013
Performance Measurement Indices
COSTCUTTER STORES

LONDIS STORES

Financial Indicator Profits 45%
Financial indicator
Profits 30%
Cash Flow Projection
£2.750millon
Cash Flow Projection
£1.500million
Monthly Sales Turnover
£100.000
Monthly Sale Turnover
£25,000.00
Yearly Sales Turnover
£1,200,000
Yearly Sales Turnover
£300.000.00
Workforce Staff Strength
250
Workforce Staff Strength
100
Management Staff
20
Management Staff
10
Growth Strength Indicator
Strong
Growth Indicator
Weak

Branches
50
Branches
20

Structural Comparisons of Store A and Store B
STORE A
STORE B
COSTCUTTER STORES
LONDIS STORES
Location is good well and easily accessible to customers
Location is hidden not easily accessible to customers
Building structure is well laid out and well textured.
Building structure not well laid out and textured
Stores paint bright white washed, visible well lighted in and around premises.
Stores paint dull and lightings dull not attractively inviting
Environment is very tidy
Environment not very tidy
Staff employees well trained and highly skilled
Staff employees not as well skilled
Customer services is good well above average
Customer service fair
Good car parking facilities
No car parking facilities
Good disabled aid facilities
Poor disabled aid facilities
Leadership style is democratic
Leadership style is autocratic

The divergent overview of both business performance reveals some striking difference in the sense that Business A performing dashboard reveals better performance than Business B…