Sheep supports many types of bookings. Booking definitions allow you to setup templates that fit the types of booking you handle. 

Use booking definitions to:

Navigate to Settings > Bookings:

Click "Add new Booking Definition"

The form starts simple and then gets complicated. Let's work through it a field at a time:

Name: Your human readable booking type
​Icon: Pick the image that best suits the booking type
​Description:  A longer description for reference

So far so good.

Hidden: The simplest booking type. If you're not interested in recording 'where' the booking takes place, use Hidden.
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Full span:
One venue per booking; the venue and the booking have the same start and end times.
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​Multiple:
​As the name suggests: the booking supports multiple venues. This could be several venues concurrently, or several over a period of time, e.g. a weekly meeting.
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Hidden: If you're not interested in 'what' is happening inside a venue, use Hidden. 

Full span:
The activity occurs for the whole of any venue. A full span activity inside a full span venue is the most common form of booking setup.

Single: One activity per venue, however the activity and the venue can have different start and end times. Use this if you want to add a padding to a session e.g. time to prepare the venue or to clean and re-set.
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​Multiple:
​Use to track multiple sessions within a single venue e.g. afternoon session for sales training followed by an evening networking event.

Who is paying for the overall booking (see ticketed bookings below).
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Off:
​Turn off buyer handling when you're not interested in recording the buyer.
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Single:
Default single buyer / booking organiser
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Multiple:
​Support for multiple buyers (not tickets)

Enquiry: Sets the booking status to "Enquiry" when created. Otherwise bookings start as "New".

Ticketed Event, Milestones and Staffing are toggles for each of those features.
Some of these settings may be limited by your payment plan.