AssignmentPlease find the attached file and answer the questions below based on it.
The competition in the retail industry is fierce, how will your store distinguish itself? Do sole proprietorships exist in Canada?
Research your industry and find common ratios significant to your industry. What are they and what are they telling you about your industry? Be specific as to the ratios relevant to your industry and what are the industry averages for those ratios.
Legal Structure of a Business4 LEGAL STRUCTURE OF A BUSINESS Table of Contents Introduction3 Analysis3 Conclusion4 References5 Introduction The business I choose to edifice is a small departmental store in Canada. The departmental store is a retail industry which will offer several types of households and grocery products to the people of Canada. Further, there is tremendous growth opportunity by setting up departmental stores. It can also be expanded in various parts of Canada along with other parts of the world. This will help to generate huge revenue, profitability and enhance the brand of the departmental stores globally. Analysis There was a huge growth in the retail industry with respect to the general merchandise stores in Canada. The rate of increase was approximately 30%. It was the apparel retailers in the departmental stores in Canada which earned the most. There are over 500 departmental stores in Canada with Winners, Hudson Bay and Nordstrom to name a few (Smith, 2022). My departmental store will be located in Toronto, Canada and will sell various households such as apparels, grocery products and home decors. The NAICS code for my departmental store will be 452210 and will fall in the category of Departmental Stores expect discount departmental stores (NIACS, 2017). The legal structure of the departmental store will be a sole proprietorship business where I will be sole liable person with respect to the liabilities and profits of the company. There will be initial expenses which needs to be incurred prior to commencement of the business such as state and federal taxes, lease of business equipment and office spaces, banking fees and professional services of the business contracts. Further, I have chosen a sole proprietorship business for the departmental store due to various advantages such as low costs, easy setup, tax deduction such as health insurance and easy exit with no or minimal paperwork. Departmental stores such as Walmart is also an example of sole proprietorship business in USA (Stowers, 2022). Conclusion Therefore, the sole proprietorship departmental store setup in Canada will help the people to get goods at prices which is lower than the market price but not at a discount. This will help the customers footfall as they will be attracted due to purchase products due to the already low price of the products. References NIACS, (2017). CHANGES FROM 2012 TO 2017 NAICS STRUCTURES: THE HIGHLIGHTS. Retrieved from: https://www.naics.com/changes-from-2012-2017-naics-structures-highlights-highlights/ Smith, P. (2022). Department stores in Canada- statistics & facts. Statista. Retrieved from: https://www.statista.com/topics/4433/department-stores-in-canada/#dossierKeyfigures Stowers, J. (2022). How to Choose the Best Legal Structure for Your Business. Business News Daily. Retrieved from: https://www.businessnewsdaily.com/8163-choose-legal-business-structure.html