Money
Money owed to a company by a supplier
Account payable
A company that provides individuals and companies with access to financial markets
Brokerage
Unit price minus cost of goods sold.
Contribution margin
Total Revenues minus Total Cost minus one-time expenditures (called “capital expenditures”) on equipment that will be used for many years.
Cash flow
The ability to use computers for basic tasks, such as developing documents, sending emails and searching the internet for information.
Computer literacy
Money owed by a customer to a company
Account Receivable
Proper business behavior beyond complying with legal requirements.
Business ethics
A person in the eye of the law
Corporation
Cash, publicly traded stocks, government bonds or corporate bonds that can be quickly turned into cash.
Cash instruments
The ability to accurately convey information. Both verbal (or spoken) and written communication skills are important.
Communication skills
Debt from a bank. Banks require much more information from potential borrowers, and take more time to make a lending decision based on a great deal of analysis.
Bank loan
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.
Capital or (Equity)
Actions entrepreneurs and companies take that go beyond their financial self interest.
Corporate social Responsibility
Money owed when something is sold
Commission
The ability to interact in a friendly and effective way with unfamiliar people.
Comfort engaging with strangers
Something of value. Anything owned is an asset.
Assests
Expenditures on equipment the business will use for many years.
Capital Expenditures
A situation in which an individual might take an action to his/her advantage that would be to the disadvantage of a person or company that believes this individual is serving them.
Conflict of interest
Individuals that make small investments in an enterprise or to support an entrepreneur where they do not expect an immediate or large return on investment.
Angel investors
Individuals and companies often promise to keep information they learn secret.
Confidentially
A determination of how many units are needed to sell in order to pay for all fixed costs.
Break even analysis
Equipment, inventory or other goods that are pledged to the bank in the case the company can not make a loan payment.
Collateral
Loss that an insurance company will reimburse a policy holder for in the event of a claim
Covered loss
A bond is security that investors buy and sell, that represents a legal obligation from the company issuing the bond that they will repay the funds they received when they issued the bond.
Bond
Expenditures on equipment the business will use for many years.
Capital Expenditures