1st Flashcards
an internet phenomenon, where strangers learn about business online and then decide whether or not to make and investment. Crowdfunding investors are typically “fans” of an owner, but they do expect a return on investment
crowdfunding
the amount an insurance company makes a policyholder pay as part of any claim.
deductible
failure to repay a loan
default
the commitment to get something done
determination
distinguishing a product or service “different than anything else” attracting customers, generating sales and serving as the foundation for a thriving business
differentiated offering
money paid by a company to a person who owns stock in that company. Dividends are optional – many companies do not pay dividends. Dividends are typically paid every 3 months
dividend
clear concise and compelling way to describe a business or new business concept in 30 seconds; a differentiating vision to encourage potential investors or employees to learn more
elevator speech
open ended questions that prompt more than a
“yes or no” answer
engaging question
funds contributed by investors to a business. Investors contribute capital to a business because they expect a significant return on their investment when the business succeeds
equity or capital
understanding how individuals and businesses earn money and what they spend money on
financial literacy
the 12 month period a company uses to report financial results. A fiscal year can be the same as a calendar year or it can be any 12 month period that makes sense.
fiscal year
costs that do not vary based on the units sold by the enterprise
fixed cost
a computer portal offered by the Louisiana secretary of state that enables entrepreneurs to go to a single source to learn which forms they need to file the forms required by the secretary of state and to determine which other government agencies they may need to interact with
geaux biz portal
an individual’s self-commitment to overcome obstacles to achieve long-term goals. The ability to keep pursuing your dream despite challenges and defeats. perseverance, resilience, and backbone
grit
credit-worthy individual or business with sufficient liquidity that promises to repay a loan in the event that the debtholder can’t make a required payment
guarantor
a special account where individuals can deposit retirement funds that can grow tax-deferred until they withdraw them after they retire. Advantages – there are no annual income taxes on any dividends or profitable sales that an IRA makes. The money remains in the account and only gets taxed when the individual withdraws money from an IRA before he/she retires they are forced to pay the IRS significant penalties for early withdrawal
individual retirement account (IRA)
debt owed to someone that is paid monthly
installment plan
the amount an insurance policyholder receives from the insurance company to reimburse the policyholder for a covered cost
insurance claim
individual or business that purchases an insurance policy for various types of protection
insurance policy holder
amount a policyholder pays for an insurance policy
insurance premium
non-physical assets created by individuals or companies that hold the exclusive legal right to commercial
intellectual property
gives the author sole right to benefit economically from what he or she wrote
copy right
gives the inventor the sole right to benefit commercially from his or her invention
patent
gives the registering individual or company the sole right to benefit from a brand or image he or she created
trademark
federal agency that collects federal taxes and preforms audits
internal revenue service
the merchandise that a company sells to a customer
inventory
legal decision requiring a person or company to pay another person or company
judgment
obligation you have to pay someone else money. Also called debt or loan.
liability
