1. Characteristics and forms of Business BAF3M

2. Types of Business 1. Service Business 2. Merchandising Business 3. Manufacturing Business 4. Non-Profit Organization

3. Service Business Sells a service to the public It does not make or sell a product as its main activity Examples: –Hairdressing salon –Dental clinic –Consultant

4. Merchandising Business A business that buys goods and resells them at a higher price for a profit. Examples: –Clothing store –supermarket

5. Manufacturing Business A business that buys raw materials, converts them into a new product, and sells these products to earn a product - (ie. Paper Mill, steel plant) A producing business is closely related to a manufacturing business. A producing business includes farm producers (ie. Milk, grain, mining, forestry, hunting, fishing, etc.)

6. Non-Profit Organization A business that meets social needs and not for a financial profit Examples: –Church –Service Club –Cancer Society –Community hockey league

7. Forms of Business Ownership Sole-Proprietorship –One owner Partnership –Two or more owners Corporation –Many shareholders