Individual Business – An Under-Exposed Type of Business Model
A single-owner business is one that is owned by a single person. It’s different from a multi-owner business structure, like LLC or partnership which is an entity, but more streamlined and taxed in a different manner.
Individual companies typically don’t need to be registered with the federal government, although they might require a DBA (doing business as) and any licenses or permits. They’re not subject to the same tax regulations as corporations and have unlimited potential for liability, which means that a lawsuit filed against an individual company could cost them everything.
This article focuses on an under-explored type of business model: the individual business model. Based on a thorough longitudinal inductive case study on chef and gastronomic pioneer Ferran Adria, the article identifies triggers, mechanisms, and modifications in his transforming personal business model.