The Founder’s Mindset (Domain 1)
The first stage of Design Thinking where you interview users to understand their problems.
What is Empathize?
This business structure protects your personal assets but is usually owned by just one or two people.
What is an LLC?
The category for things a business owns, like cash, inventory, and equipment.
What are Assets?
Use the Accounting Equation: If Assets are $10k and Liabilities are $3k, what is Equity?
What is $7,000?
In the supply chain, this person is the very last link—the person who actually uses the product.
Who is the Consumer?
This type of research involves looking at data that already exists, like a competitor’s website or a government report.
What is Secondary Research?
This formal document is 20–50 pages long and is required when you want to get a loan from a bank.
What is a Business Plan?
The term for money a business owes to its suppliers.
What is Accounts Payable? It is a liability.
If you spend $100 on an ad and make $500 in Net Profit, what is your ROI?
What is 500%?
Selling a product directly from your own website to a customer is this type of Sales Channel.
What is a Direct Channel?
The stage of Design Thinking where you build a "Minimum Viable Product" to show users.
What is Prototyping?
This "One-Page" document is used to quickly test and change your business model.
What is a Lean Canvas?
These costs, like rent and insurance, stay the same no matter how much you sell.
What are Fixed Costs?
If your monthly expenses are $4,000 and your revenue is $1,000, what is your Monthly Burn Rate?
What is $3,000?
This middle-man in the supply chain buys products in massive quantities from manufacturers and sells them to stores.
Who is a Wholesaler?
To protect your company’s logo and brand name, you should register for one of these.
What is a Trademark?
A business structure that has "perpetual existence," meaning it doesn't end if the owner passes away.
What is a Corporation?
This document is a "snapshot" of a business's value, showing Assets, Liabilities, and Equity.
What is a Balance Sheet?
You have $20,000 in the bank and a Burn Rate of $2,000. How many months of Runway do you have?
What is 10 months?
In SWOT Analysis, a new competitor opening up across the street is considered this.
What is a Threat?
If you are at the "Test" stage and the user hates your product, you go back down the staircase to this brainstorming stage.
What is Ideate?
These are the moral principles that guide how a business treats its customers and employees.
What are Business Ethics?
Money customers owe to the business for services already rendered.
What is Accounts Receivable?
You sell hats for $20. They cost $5 to make. Your rent is $300. How many hats must you sell to break even?
What is 20 hats? — $300 / $15
The "M" in the supply chain acronym R.M.W.R.C.
What is Manufacturer?