ESB Flashcards
The cost incurred by a business.
Acquisition Costs
An investor who provides funding to a business for a stake in the business in return.
Angel Investor
A tangible item a business owns.
Asset
commercial transaction between businesses.
A business-to-business (B2B)
A business-to-consumer transaction.
B2C
A document that compares assets to liabilities plus owner’s equity.
Balance Sheet
A business owner uses their own money to fund their business.
Bootstrapping
The level of familiarity one has with a brand.
Brand Recognition
The point where a business’s revenue matches its expenses over a given period.
Break-Even Point
The amount of money a business plans on spending during a given period.
Budget
A calculation used to measure a business’s monthly cash flow.
Burn Rate
A situation an entrepreneur analyzes and evaluates to see if starting a sustainable, profitable business is feasible.
Business Opportunity
A business structure that allows the company to pass its income, losses, deductions, and credits through its shareholders to decrease their taxation.
C Corporation
A document that addresses the concept, customers, and capital of a business.
Business Plan
holds a leadership role within a business. oversees a business’s operations and resources and makes the major decisions for the company.
The Chief Executive Officer (CEO)
holds a leadership role within a business. oversees a company’s finances.
The Chief Financial Officer (CFO)
The action of working with one or more people toward a common goal.
Collaboration
A fee is paid to an employee for completing a task.
Commission
A signed agreement stating that an entity will not disclose information agreed upon by all parties in an arrangement.
Confidentiality Agreement
A monetary amount is given to employees in return for their work.
Compensation
An agreement between an employee and a company outlining obligations and terms of employment.
Contract
holds a leadership role within a business. is responsible for overseeing the day-to-day administrative and operational functions of a business.
The Chief Operating Officer (COO)
A form of protection individuals can implement to protect their intellectual property. designated for print, music, film, and various other forms of creative licenses.
Copyright
Using one’s mind to solve a problem in the best way by considering various potential solutions to the problem.
Critical Thinking
The method of sharing a start-up business online to pre-sell products.
Crowdfunding
An individual or business that purchases goods and services from a business.
Customer
The total cost of acquiring a new customer.
Customer Acquisition Cost
Activities or strategies employed by a business to retain existing customers.
Customer Retention
A local agency with information on participating local businesses.
Chamber of Commerce
Statistical data that refers to particular groups within a population.
Demographics
A method used to get a product from the manufacturer to the end-users.
Distribution Channel
An individual hired by a company and compensated for their work.
Employee
An individual who aspires to start and run a successful business.
Entrepreneur
Non-cash compensations are offered to employees in place of or in addition to a lower salary.
Equity
Standards of professional conduct professionals should uphold.
Ethical Practices
The costs of a business have remained the same no matter the volume of production.
Fixed Costs
Thinking about and planning for the future.
Forward-Thinking Mentality
The person who developed or created a company or organization.
Founder
A business that takes its name and characteristics from an existing business chain.
Franchise
The characteristic of being able to tackle goals with courage and perseverance.
Grit
Believing that one can accomplish anything with hard work.
Growth Mindset
A payment amount is provided to employees for the number of hours they worked.
Hourly Pay
A financial statement that details a business’s revenue and expenses for a given period.
Income Statement
A characteristic in which an individual acts to turn ideas into action.
Initiative
A new idea, product, or method.
Innovation
A creative work or invention to which an individual has been given rights.
Intellectual Property
Goods a business owns with the purpose of selling.
Inventory
A person or entity is willing to provide monetary funds to a business with the hopes of earning a return on their money.
Investor
A one-page document discussing key information commonly seen in a business plan
Lean Canvas
The amount of money owed to an entity.
Liability
is a business with pass-through taxation where owners pay taxes on the company’s profit and losses through their personal taxes.
A limited liability company (LLC)
A form of communication between businesses and customers that relays a message promoting services and/or goods.
Marketing
A written plan that outlines a company’s marketing strategies.
Marketing Plan
is an inexpensive preliminary product to test the product idea.
A minimum viable product (MVP)
A type of business that has no owner and does not pay federal US taxes.
Nonprofit
The expenses incurred for running day-to-day tasks in a business.
Operating Costs
The way one approaches new ideas and ventures in their life.
Opportunity Recognition
The individuals that own the business.
Owner
Two or more individuals that share a business’s financial responsibility.
Partners
A legal method used to protect an invention for a limited time.
Patent
One’s ability to act to work toward achieving a goal.
Personal Agency
A type of compensation provided for the amount of work produced.
Piece Work
A presentation given to potential investors to provide a brief overview of the business plan to earn another meeting.
Pitch Deck
The amount of money charged for goods or services.
Price
First-hand research like surveys, interviews, and statistical data.
Primary Data
The process of coming up with solutions to solve a problem.
Problem-Solving
The stage where a business’s sales are high and continue to grow because their product or service is something customers want and continue to purchase.
Product/Market Fit
A tangible item.
Product
The amount of financial gain from a business.
Profit
One’s ability to adapt to change, loss, and disappointment.
Resiliency
A preliminary product, commonly a product with minimum viability, from which to test and develop.
Prototype
The number of sales and other income in a business for a given period.
Revenue
The possibility of something negative happening. In the context of a small business, the possibility of a loss of time and money.
Risk
The level of willingness to lose time and money when starting a business.
Risk Tolerance
is a calculation used to determine how much an investment is making.
Return on investment (ROI)
Fees paid for the use of a brand name or image.
Royalty Fees
A calculation is used to make projections about a company’s future performance.
Run Rate
How a business sells its products and services to the end customer.
Sales Channel
A fixed payment amount provided to a full-time employee.
Salary
A persuasive speech prepared to entice a potential customer to purchase a service or good.
Sales Pitch
A type of business structure with a special tax advantage that allows the company to pass its income, losses, deductions, and credits through its shareholders.
S Corporation
Data that may contain personal bias like company newsletters and academic journals.
Secondary Data
Trusting one’s self, goals, and progress.
Self-Reliance
The price a company charges for its product or service. determined by adding the cost price and the profit margin the company wants to earn.
Selling Price
An intangible service or skill that is performed.
Service
A corporation, partnership, or sole proprietorship that is privately owned by one individual or a small group of people. They commonly have fewer employees and revenue than larger-sized businesses.
Small Business
is an independent government agency specializing in providing small businesses with assistance to get their business up and running.
The Small Business Administration (SBA)
A type of business structure with a single owner. The business is not shielded from any amount of liability.
Sole Proprietorship
An individual with an interest in a business.
Stakeholder
An individual that owns at least one share in a corporation’s stock.
Stockholder
A planning tool used to document a company’s strengths, weaknesses, opportunities, and threats.
SWOT Analysis
The group of customers a company chooses to market its products and services.
Target Market
A practice used by businesses to protect a practice, process, or formula from being shared with other competitors.
Trade Secret
A practice used to protect brand names, logos, and business names
Trademark
A promise of value that a company makes about their product or service that makes it attractive to customers.
Value Proposition
Fluctuating costs that a business has depending on production.
Variable Costs
