Vocabulary 1
An individual or business that purchases goods and services from a business
Customer
A person who developed or created a company or organization.
Founder
Goods that a business owns with the purpose of selling
Inventory
The individuals who own the business.
Owner
The amount of money charged for goods or services.
Price
The total cost of acquiring a new customer
Customer Acquisition Cost (CAC)
Believing one can accomplish anything with hard work.
Growth mindset
It is an inexpensive preliminary product to test the product idea.
MVP or minimum viable product
Two or more individuals who share a business's financial responsibility.
Partners
First-hand research, like surveys, interviews, and statistical data.
Primary Data
Activities or strategies employed by a business to retain existing customers
Customer retention
Payment amounts are provided to employees based on the number of hours they have worked.
Hourly pay
A person or entity willing to provide monetary funds to a business with the hopes of earning a return on their money.
Investor
The ability to act and work toward achieving a goal.
Personal Agency
The process of coming up with solutions to a problem
Problem-solving
A local agency with information on participating local businesses
Chamber of Commerce
A characteristic in which an individual acts to turn ideas into action.
Initiative
A creative work or invention to which an individual has been given rights.
Intellectual Property
A presentation given to potential investors to provide a brief overview of the business plan to earn another meeting.
Pitch Deck
A tangible item
Product
Statistical data that refers to particular groups within a population
Demographics
Costs that remain the same no matter the volume of production
Fixed costs
The amount of money owed to an entity.
Liability
The expenses incurred for running day-to-day tasks in a business.
Operating Costs
The amount of financial gain from a business
Profit
A method used to get a product from the manufacturer to the end user.
Distribution Channel
A business that takes its name and characteristics from an existing business chain.
Franchise
A one-page document discussing key information commonly seen in a business plan.
Lean Canvas
A legal method used to protect an invention for a limited time.
Patent
One's ability to adapt to change, loss, and disappointment.
Resiliency
An individual hired by a company and compensated for their work.
Employee
The ability to tackle goals with courage and perseverance.
Grit
A form of communication between businesses and customers that relays a message promoting services and/or goods.
Marketing
The way one approaches new ideas and ventures in their life.
Opportunity recognition
The number of sales and other income in a business for a given period.
Revenue
An individual who aspires to start and run a successful business
Entrepreneur
Thinking about and planning for the future.
Forward-thinking mentality
This is a business with pass-through taxation, where owners pay taxes on the company's profits and losses through their personal taxes.
Limited Liability Company (LLC)
A type of compensation provided for the amount of work produced.
Piece Work
The possibility of something negative happening. In the context of a small business, the possibility of loss of time and money.
Risk
Non-cash compensation is offered to employees in place of or in addition to a lower salary.
Equity
A financial statement that details a business's revenue and expenses for a given period.
Income statement
A type of business that has no owner and does not pay federal US taxes
Nonprofit
A preliminary product, commonly a product with minimum viability, from which to test and develop.
Prototype
Fees paid for the use of a brand name or image.
Royalty fees
Standards of professional conduct that professionals should uphold
Ethical practices
A new idea, product, or method
Innovation
A written plan that outlines a company's marketing strategies.
Marketing plan
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
How a business sells its products and services to the end customer.
Sales Channel
The level of willingness to lose time and money when starting a business.
Risk Tolerance
It is a calculation used to determine how much an investment is making
Return on Investment (ROI)
A calculation used to make projections about a company's future performance.
Run RAte
A type of business structure with special tax advantages that allows the company to pass its income, losses, deductions, and credits through its shareholders.
S-Corporation
A persuasive speech prepared to entice a potential customer to purchase a service or good.
Sales pitch
Data that may contain personal biases like company newsletters and academic journals.
Secondary data
Trusting one's self, goals, and progress
Self-reliance
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 businesses.
Small business
It is an independent government agency specializing in providing small businesses with assistance to get their businesses up and running.
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