Difference Between Business and Profession
1. Minimum qualification
→ No qualification is required to start a business.
→ A minimum technical or academic qualification is needed to join a profession.
2. Capital
→ An adequate amount of capital is required to run the business efficiently.
→ Real capital is the competency and specialized knowledge of the profession.
3. Objective
→ The main objective of the business is to earn profits.
→ Service first, profit second is the main objective of the profession.
4. Risk
→ There is an element of risk in the business.
→ In profession, there is minimum risk.
5. Secrecy
→ The secrecy in the business transactions is not necessary.
→ A professional must maintain the secrecy of dealings with his clients.
6. Code of Conduct
→ There is no specific code of conduct for the business.
→ There is a code of conduct for every profession for regulating their dealings.
7. Specialization
→ A businessman need not to have a specialized knowledge for starting a business
→ A professional must have a specialized knowledge in the profession which he wants to join.
8. Advertisement
→ Generally, the goods are advertised in business to increase sales.
→ Advertisement is prohibited in all the professions according to their code of conduct.
9. Criteria of Efficiency
→ Profits in business is the only criteria of efficiency.
→ Quality of service rendered is the basis of measuring the efficiency.
10. Transferability
→ One can easily transfer his interest in business to other. For example father can transfer his business to his son.
→ Profession involves the specialized knowledge which can not be transferred to any other person.