Business
A business owned and run by one person (no legal distinction between the owner & the business)
sole proprietorship
A stock of goods a business holds for sale or to use in production
Separate legal entity distinct from its owners
Corporation
A way of funding by raising money from a large number of people
Crowdfunding
Better business bureau
Conducts business as a separate "legal person" that can own assets, enter contracts, and sue/be sued, all apart from the owners.
Corporation
It is a payout from a company's profits to its shareholders
Dividends
Simplest and most common structure for small businesses
Sole proprietorship
Centers on the transfer of goods, services, or $ between parties
Commerce
The original amount of $ borrowed, invested, or loaned. A base for calculating interest or returns.
Principle
Type of business operates under a business model with a proven formula
A franchise
The charge for borrowing money
Interest
Invest in startups that have high potential for rapid growth
Venture capitalist
Operates for the benefit of its members
Commerce(co-op)
Provide capital, take equity stakes, offer guidance, aim for high returns
Venture capitalist
A mission oriented business
Non-profit
What does this calculation equal: Gross income-Mandatory deductions
Net income
A method used to allocate the cost of a tangible asset over its useful life
Depreciation
Represents the true earnings available to the company for distribution or growth.
Net income
An individual investor with a high net-worth
Angel investor
A business with a key characteristic of diversification to reduce financial risk
Conglomerate
Has a purpose of helping a business figure out how much value their assets have lost during the year
Depreciation
Establishes a new & lower wage scale for future employees
Two-tier wage system
Allows parent company to reduce financial risk by diversifying its business interest
Conglomerate
Donation based model for charities or personal causes
Crowdfunding