Managing Small and Medium Enterprises

Managing
Small and
Medium
Enterprises

Table of Contents
INTRODUCTION...........................................................................................................................1
The nature of entrepreneur who founded the company..........................................................1
SME start-up process..............................................................................................................2
Business concept and competitive advantage sources............................................................4
Present demand and competitive environment.......................................................................5
Business growth until present.................................................................................................7
Obstacles faced by the entrepreneurs in operating the company...........................................8
Growth and development strategy adopted by the company..................................................9
Government assistance that can be used by the business to eliminate obstacles.................10
CONCLUSION..............................................................................................................................11
REFRENCES.................................................................................................................................12

INTRODUCTION
Small and medium sized organisations are the lifeblood of the UK economy. This is
because small and medium sized business firms generate 50% of the revenue in the UK
corporate sector and employee 44% of the labour force (How the COVID-19 crisis is affecting
the UK small and medium sized enterprises, 2020). In addition to this small business firms create
establishment which cater to the needs of UK residents and play an important role in building a
circular economy. This is because small business firms local circulation of material, nutrients
and financial resources. The creation and management of small business to attain growth in
highly complicated corporate world is complicated task. The present report aims to understand
various concepts related to small business management in UK economy. The business firm
selected for this report is Yumi nutrition, which is Manchester based vitamin supplement
producing company. The firm was launched in the year 2017 and has seen rapid growth due to in
the health products sector of UK. The turnover generated by the firm in the year 2020 amounted
to £413k. The company generated revenue of £1.1 million in the first and second quarter of 2021
(The 12 Fastest-Growing Startup Companies in the UK 2021). The present report focuses
determining the nature of founders of the company. In addition to this the business concept of the
business and ways to gain competitive advantage are identified are in this report. Start-up
process through which the firm was created was also determined in this report along with
demand and competitive environment of the company. Business growth from establishment and
growth strategy adopted by the company is described in this report. Challenges faced by Yumi
nutrition and options to seek government assistance are provided in this report.
The nature of entrepreneur who founded the company
Yumi nutrition was founded by group of entrepreneurs which are Sebastian Vanderlinden
who is the co-founder and CEO of the organisation, Adam Braker and creative director Joshua
Margetts. The idea behind the formation of Yumi Nutrition was developed by Sebastian
Vanderlinden during his employment at a digital agency. Sebastian Vanderlinden showcased
entrepreneurial skills at a young age of 17. At the age of 17 he dropped out of school to secure
employment and saved money to learn app development. He used his savings to gain resources
about app development and taught himself about the basics of app creation and software
development. Sebastian Vanderlinden used his knowledge about app creation to develop
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applications for small and medium sized businesses and soon gained a job offer from digital
agency. He excelled at the agency and bought 709,165 GBP sales for the firm. Sebastian started
Yumi Nutrition as a side e-commerce business (From Avocation To Vocation: How I Turned My
Hobby Into A Career” With Sebastien Vanderlinden of Yumi Nutrition, 2019). He partnered with
his friends and supplied finished products to the consumers from the post office during the start
of the company. This information depicts that the nature of entrepreneur of this company is
growth focus. The respective entrepreneur focused on introducing their company as soon as
possible in order to gain feedback and market data in order to determine if the business idea has
growth potential. The commitment of this small business entrepreneur towards seeking
continuous growth is the reason behind the fact that the annual sales of Yumi nutrition are equal
to 14,18,439.80 GBP and major retailers such as Urban Outfitters, GNC and Holland & Barrett
are part of the consumer base of the firm.
The growth of the entrepreneur from low income jobs to successful start of own business
firm depicts that the founder of Yuni Nutrition is Hustler entrepreneurs. Hustler entrepreneurs
are motivated by their vision of the future and usually start as a small company with efforts to
become industry leader in the future. Adoption of this type of entrepreneur’s nature has helped
the founder of Yuni Nutrition focus on building successful brand with negligible amount of
investment. The hard-working nature and determination of the respective entrepreneur is one of
the contributing factors to the swift growth of the company. Sebastian Vanderlinden was able to
create an entrepreneurial venture with success potential that the company was able to secure
investment of £110,000 to expand internationally . In addition to this the ability to collaborate
with other to attain entrepreneurial goals shows that the founder and creator of the concept of
Yuni Nutrition is team player nature and understands the value of using expert advice on certain
areas to attain business success.
SME start-up process
The steps to build establish a start-up are a part of the SME start-up process. The SME
start-up process is provided below in context of the British e-commerce business Yumi
Nutrition:
Creation of a business plan: This is the initial and one of the most important steps in the start-
up process of small and medium sized business firms (Campbell and Park, 2016). A business
plan is formal documentation of future goals off the company, action plan for attaining those
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