micro enterprise 2 Flashcards
- Crowdfunding
An internet phenomenon, where strangers learn about a business online and then decide whether or not to make an investment. Crowdfunding investors are usually “fans” of an owner, but they do not expect a return on investment.
- Deductible
The amount am insurance company makes a policy holder pay as part of any claim.
- Default
failure to repay a loan
- Determination
the commitment to get something done
- Differentiated offering
distinguishing a product or service “different than anything else” attracting customers, generating sales and serving as the foundation for a thriving business.
- Dividend
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 three months.
- Elevator speech
a 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.
- Engaging question
open ended questions that prompt more than a “yes” or “no”
- Equity or capital
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.
- Financial literacy
understanding how individuals and businesses earn money and what they spend money on
- Fiscal year
12-month period a company uses to report financial results
- Fixed costs
costs that do not vary based on the units sold by the enterprise
- Geaux BIZ portal
computer portal offered by the La 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 govt. agencies they may need to interact with.
- Grit
an individual’s self-commitment to overcome obstacles to achieve long term goals
- Guarantor
a credit-worthy individual or business with sufficient liquidity that promises to repay a loan in the event the debt holder can’t make a required payment
- IRA individual retirement account
special account where you can deposit retirement funds that can grow tax deferred until the withdraw them after they retire. If an individual withdraws money from an IRA before they retire they must pay the IRS significant penalties for early withdrawal.
- Installment payment
debt owed to someone that is paid monthly
- insurance claim
the amount an insurance policyholder receives from the insurance company to reimburse the policyholder for a covered loss
- insurance policy holder
the individual or business that purchases an insurance policy for various types of protection
- insurance premium
the amount a policyholder pays for an insurance policy
- intellectual property
non-physical assets created by individuals or companies that hold the exclusive legal right to commercialize
- copyright
give the author sole right to benefit economically from what he/she wrote
- patent
gives the inventor the sole right to benefit commercially from his/her invention
- trademark
gives the registering individual or company the sole right right to benefit from s brand or image he/she created
- internal revenue service (IRS)
the federal agency that collects federal taxes and performs audits
- inventory
the merchandise that a company sells to a customer
- judgement
a legal decision requiring a person or company to pay another person or company
- liability
an obligation you have to pay someone else money. also called a debt or a loan
