Chapter 11: Influences in Establishing an SME

Question 1

What are 2 main types of going into a business?

Answer 1

• Starting from scratch

* Purchasing an existing business

Question 2

______ is the monetary value attached to the reputation of a particular business
What’s missing?

Answer 2

Goodwill

Question 3

______ _______ involves collecting, summarising and analysing information about the state of market, customers, threats and opportunities and advantages and disadvantages that the business has over its competitors
What’s missing?

Answer 3

Market analysis

Question 4

_______ mark-ups increase the cost price by a fixed percentage to give the selling price
What’s missing?

Answer 4

Percentage

Question 5

______ is a means by which local councils allocate land for different uses
What’s missing?

Answer 5

Zoning

Question 6

A ______ is a loan secured on some type of asset

What’s missing?

Answer 6

Mortgage

Question 7

____ _____ is money obtained through loans

What’s missing?

Answer 7

Debt finance

Question 8

_____ _____ is the funds contributed by the business owner to start and then expand the business
What’s missing?

Answer 8

Equity finance