Sole trader to INC

 

In 1995, eBay was founded by Pierre Omidyar and was named AuctionWeb.  The aim of the project was to have a business where individuals could buy and sell collectables.

 

The business was run from home, with Pierre as the owner and manager, handling all aspects of the business.

 

A corporate structure was put in place as sales grew significantly, and in 1996 it became a private limited company.  This allowed the company to prepare for investments. In 1997, it was renamed eBay and it received an investment of $6.7million from Benchmark Capital. This accelerated its rapid expansion and product developments, such as categorisation of goods, and feedback methods were introduced into the business.

 

In 1998, eBay joined the NASDAQ Stock Exchange through an initial Public Offering (IPO). Growth continued, with strategic purchases, such as PayPal, to secure its market dominance.

It remains a key player within e-commerce and its journey from sole trader to becoming a public listed company is a classic example of a small business adapting and growing to allow investment and further expansion.

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 [RC1]Add reference for where this information is from?

 [AH2]Tricky as I just know the case study - Ill reference my own case study

 [RC3]Incomplete sentence.