Start my own business

This isn’t related to this goal but it is about business so I thought I might post it here and see if anyone comments it with their opinions =).

How many people here know their history? In the 17th century the European colonial powers used companies to trade, administer, defend and conquer in the Asia-Pacific region. (For example, the Dutch East India Company which controlled Indonesia).

Do such prospects exist today I wonder? I was thinking of places where there is still resources that are not being extracted, such as Antarctica. Also further afield into space if Antarctica isn’t ambitious enough ;).

This is just a though… felt like sharing it with some people lol.

As per my last entry, where I was proposing the creation of a community investment company whereby the said investment company purchases a share in various small businesses in the region and then selling its own shares to shareholders within the region (a region-region basis, thus localised), I have done some extra research. As such I think what I was talking about when I said “investment company” was more like “holding company”... The selling and purchasing of portions of small businesses is reflected by the increase and decrease of holding company shareholders.

WIKIPEDIA entry “Holding company”:
“A holding company is a company that owns part, all, or a majority of other companies’ outstanding stock. It usually refers to a company which does not produce goods or services itself, rather its only purpose is owning shares of other companies. Holding companies allow the reduction of risk for the owners and can allow the ownership and control of a number of different companies…”

WIKIPEDIA entry “Investment company” [stub]:
“An investment company is a company whose main business is holding securities of other companies purely for investment purposes. The investment company invests money on behalf of its shareholders who in turn share in the profits and losses…”

Well basically they are pretty similar and it incorporates elements of both types of company.

A comment left on my previous entry hinted at the resistance from small businesses to sell off even small portions of their business, even if the holding/investment company would be beneficial in that it reduces their risk of collapse. The notion of course of a third party that, depending on the portion being held, has a say in how the business is run can be rather putting off to say the least. Needless I will be asking my neighbour (pet shop owner) and my friend’s Dad (who is mental with like 20 businesses under his control or something) as to what kind of reaction I would get from this kind of proposal (and its feasibility).

Clearly a bit more research is needed… =)

I had this business idea a few months ago and I have put it in a “things to consider” file buried in my filing cabinet for the future.

In my local region of suburbs there are many many small businesses and since many of them make positive returns but not returns that are overly profitable for the business owner, it would be good if they could have financial support. Not so much as loans but more like a third party that owns a portion of the business and therefore contributes to the upkeep as well as receives a share of the profits made, etc.

I thought maybe a community investment company would be ideal for such a third party. In the region we have some fairly wealthy suburbs so I might be able to find some shareholders. A kind of business that has community shareholders and invests in community businesses. Also with the new small businesses in the area the investment company could engage in venture capitalism so bigger shares and bigger returns could be made (although risk capital increases).

NOTE: This is just an IDEA. I do not know too much about business but I am learning. I will write new entries as I learn more. I would love to hear your thoughts on this and any suggestions.