© 2003 SOUTH-WESTERN PUBLISHINGCHAPTER 20Slide 1 CHAPTER 20 ENTREPRENEURIAL SKILLS 20.1Self-employment 20.2Small Business and You LESSONS

© 2003 SOUTH-WESTERN PUBLISHINGCHAPTER 20Slide 2 LESSON 20.1 SELF-EMPLOYMENT Name contributions that small business makes to our society Discuss advantages and disadvantages of self-employment Outline what it is like to own and operate a small business OBJECTIVES

© 2003 SOUTH-WESTERN PUBLISHINGCHAPTER 20Slide 3 ENTREPRENEUR An entrepreneur is someone who runs his or her own business. Lesson 20.1

© 2003 SOUTH-WESTERN PUBLISHINGCHAPTER 20Slide 4 IMPORTANCE OF SMALL BUSINESS  Creation of new jobs  Recycling of old buildings  Opportunities for women and minorities to get started in business  New inventions, products, and services Lesson 20.1

© 2003 SOUTH-WESTERN PUBLISHINGCHAPTER 20Slide 5 FORM OF ORGANIZATION  Proprietorship  Partnership  Corporation Lesson % 7% 20%

© 2003 SOUTH-WESTERN PUBLISHINGCHAPTER 20Slide 6 PROPRIETORSHIP A proprietorship is a business owned by one person, who receives all the profits. Lesson 20.1

© 2003 SOUTH-WESTERN PUBLISHINGCHAPTER 20Slide 7 PARTNERSHIP A partnership is a business that has two or more co-owners. Lesson 20.1

© 2003 SOUTH-WESTERN PUBLISHINGCHAPTER 20Slide 8 CORPORATION  In return for a fee paid to the state, a corporation receives a charter, a legal document that gives the corporation permission to conduct certain business activities.  The owners of a corporation are called stockholders.  The stockholders elect a board of directors. Lesson 20.1

© 2003 SOUTH-WESTERN PUBLISHINGCHAPTER 20Slide 9 LESSON 20.2 SMALL BUSINESS AND YOU Identify ingredients necessary for a successful business Evaluate your own self-employment traits Describe factors to consider in choosing a business OBJECTIVES

© 2003 SOUTH-WESTERN PUBLISHINGCHAPTER 20Slide 10 INGREDIENTS FOR SUCCESS  Personality  Know-how  Money Lesson 20.2

© 2003 SOUTH-WESTERN PUBLISHINGCHAPTER 20Slide 11 PERSONALITY TRAITS NEEDED BY A SELF-EMPLOYED PERSON  Ability to take action when needed  Ability to lead others  Dependable and trustworthy  Being a good organizer  Ability to work hard  Positive attitude  Ability to make good decisions  Honest and open  Ability to accomplish goals  Desire to succeed  Willingness to take risks Lesson 20.2

© 2003 SOUTH-WESTERN PUBLISHINGCHAPTER 20Slide 12 KNOW-HOW  Self-employed people need some knowledge in various areas of business including finance, economics, management, marketing, accounting, and commercial law.  Business know-how is usually learned through coursework and on-the-job training.  Most entrepreneurs have experience working in others’ businesses. Lesson 20.2

© 2003 SOUTH-WESTERN PUBLISHINGCHAPTER 20Slide 13 FRANCHISE A franchise is a contract with a company to sell its goods and services within a certain area. Lesson 20.2

© 2003 SOUTH-WESTERN PUBLISHINGCHAPTER 20Slide 14 MONEY The cost of going into business depends on the type of business, the location, the size, and other factors. Lesson 20.2

© 2003 SOUTH-WESTERN PUBLISHINGCHAPTER 20Slide 15 ARE YOU THE TYPE? 1.Are you a self-starter? 2.Do you like people? 3.Are you a leader? 4.Do you like to take charge? 5.Do you like to have a plan before you start? 6.Do you work hard for things you want? 7.Are you decisive? 8.Do people trust you? 9.Do you see things through? 10.Do you write things down and keep good records? Lesson 20.2

© 2003 SOUTH-WESTERN PUBLISHINGCHAPTER 20Slide 16 CHOOSING A BUSINESS  Identify the business you want to be in  Write a summary of your background and experience  Seek a job working for somebody else in the business you are considering  Get all the facts about the kind of business you want to start Lesson 20.2

© 2003 SOUTH-WESTERN PUBLISHINGCHAPTER 20Slide 17 WORKING Career Success for the 21 st Century by Larry J. Bailey Click on the title below to view the presentation for the next chapter. CHAPTER 21 OUR ECONOMIC WORLD