Opertaing a small rural-based business Essay Example | Topics and Well Written Essays - 2000 words

Opertaing a small rural-based business - Essay Example (Landstorm, pp. 13-14, 2005) In particular, SMEs play a significant role in the contribution to rural economy. Since few years, sector of rural-based tourism has developed and grown progressively in the country. Certain limits related to the annual turnover or the number of employees have been defined and described in every country, in order to identify the definition the small and medium enterprises. However, every country has its economy, and thus, definition of the abovementioned term has been provided by various trade organizations according to their terms and conditions. In this regard, these enterprises have been abbreviated by SME by some of the major trade organizations, as well as, unions, such as, the World Trade Organization, the World Bank, and the European Union. For instance, a limit of five hundred employees was put on the German companies according to their traditional definition. On the other hand, a limit of only hundred employees was the standard for becoming SME in the Belgium. (Hall, pp. 49-50, 1997) In this paper, we will try to discuss different steps that can be taken to establish and operate small rural-based business in particularly, tourism sector of the United Kingdom. Every business confronts different threats and weaknesses during various business processes; however, establishment of a business brings new opportunities and strengths that will be discussed in this paper as well. The importance of the small business sector in tourism sector of the country will be highlighted during this paper, and few implications will be provided during the study. In the United Kingdom, magnitude of the annual balance sheet, annual turnover, and number of employees are considered during the evaluation of a small business firm statistically. In detail, small business firms have been categorized according to their volume. For instance,