Business

In simple words, business is the term used to refer to the repeated activity that is aimed at the making of the Profit; even a one-off activity that serves the purpose of the profit making would also be included in the purview of the Business.  In the pre-industrialization period there were a few businesses ventures however in the post industrialization period the businesses started to boom in every field and the mass production started which triggered competition and motivated even more entrepreneurship which lead to increased business activity in particular and the economic activity in general.

Forms of Business

Businesses are operated in many forms. These forms are usually the ownership structures. The more the size the regulations that will be eventually levied will keep on increasing. The primary ownership structures in the world that can be easily observed are the sole proprietorship, Partnership and the corporation. There are further variants in those ownership structures such as S corporations, C corporations are further classifications in the category corporation.

Purpose of Business

Primary purpose in relation to the establishment of the any specific organization is to earn profitability. However, in the contemporary world there may be purposes of the organization that is other than the profitability. The objectives that can be mentioned here are welfare purpose, educational purpose or any specific awareness project and those organizations are commonly referred to as the Non-Profit organizations. The alternative name that is given to such organization is the non-government organizations. The purpose of such nomenclature is that those organizations are engaged in provision of the service much similar to the services provided by the Government; however, they are not government entities. This is why they are commonly referred to as the Non-Government organizations.

Business and Economic Implications

Businesses have economic implications. Business creates employment opportunities which help to address the unemployment problem. The problem of unemployment is an economic problem that is major in the eyes of the authorities and needs continuous state level policies to address and control. In this way the Businesses help in keeping up the circular flow of income and contribute to the economic stability in the long-term. 

Business and Tax Implications

The ultimate profit earned by the Business attracts the tax implications. A small business is usually assessed and taxed in the same return which includes the income of the individual from such sources such that salary, capital gains. As the size of the business inflate and is a registered corporate in the Registration documents, it turns out to be a separate legal person in itself and is individually assessed and taxed by the tax authorities.

Conclusion

A business is the revenue generating activity. Businesses are operated in many forms. These forms are usually the ownership structures. Primary purpose in relation to the establishment of the any specific organization is to earn profitability. Businesses have economic implications. Business creates employment opportunities which help to address the unemployment problem. The ultimate profit earned by the Business attracts the tax implications. The bigger the size of the organization, the more is the regulations, tax provisions that need to be complied to trigger the sustainability.