Chapter 6 Flashcards
Entrepreneurship
Accepting the risk of starting and running a business.
Intrapreneurs
Creative people who work as entrepreneurs within corporations.
Micropreneurs
Entrepreneurs willing to accept the risk of starting and managing a business that remains small, lets them do the work they want to do, and offers them a balanced lifestyle.
Enterprise Zones
Specific geographic areas to which governments try to attract private business investment by offering lower taxes and other government support.
Incubators
Centers that offer new businesses low-cost offices with basic business services.
Small business
A business that is independently owned and operated, is not dominant in its field of operation, and meets certain standards of size (set by small business administration) in terms of employees or annual receipts.
Business plan
A detailed written statement that describes the nature of the business, the target market, the advantages the business will have in relation to competition, and the resources and qualifications of the owners.
Angel investors
Usually give support to start-ups at the initial moments (where risks of the start-ups failing and relatively high) and when most investors are not prepared to back them. In return they often take partial ownership equity.
Venture capitalists
Individuals ot companies that invest in new busineses in exchange for partial ownership of those businesses.
Sources of capital
Personal savings, family, business associates, banks and finance institutions, government agencies.
Small business Administration
A U.S. government agency that advises and assists small businesses by providing management training and financial advice and loans.
