Topic 1.1 - Risk And Reward Flashcards
What is calculated risk?
Putting numerical value or probability on a risk to give you a better chance of success
What is the burn rate?
How much money is spent setting up the business
What is corporate tax?
The tax that all companies need to pay when they make profit
What is income tax?
The tax that people need to pay from their salary
What is the outlay?
An amount of money spent on something
What is the markup?
The amount of money added to the cost of goods to cover overheads and profit
What is added value?
The amount by which the value of a product has risen as a result of a person’s or firm’s part in producing a good or service
What is a USP?
Unique selling point - the aspect of a business’s activity that makes it distinctive and sets it apart from the competition
What is branding?
The way of defining the business, its aims and its values in a way that can be communicated with consumers
What are values?
Standards of behaviour of moral principles
