James Earl Jones
Setting up a business with the aim to make a profit.
Entrepreneurship
The greatest benefits of being an entrepreneur
Schedule control
2 documents that summarize the business plan for a company
Pitch Deck and Lean Canvas
The highest-ranking employee in the company; reports to the board of directors.
CEO
Chief Executive Officer
A business is separate from the owner responsibilities delegated to staff. A business in the stage usually commands a considerable share of the market and may even be a household name.
Maturity
Stage 1: Existence
Stage 2: Survival of the fittest
Stage 3: Success
Stage 4: Take-off
Stage 5: Maturity
Business Life Cycle
Stage 1: Empathize
Stage 2: Define
Stage 3: Ideate
Stage 4: Prototype
Stage 5: Test
Design Thinking Process
-Less than $35.5 million revenue
-Fewer than 1,500 employees
2 Characteristics define a "small" business
Employee who creates budgets, analyzes financial data, and forecasts company profits.
CFO
Chief Financial Officer
Company is stable and profitable.
Success
2 types of Sales Channels that sell primarily to other businesses
B2B
Wholesale
You need to create a legal structure for your small business. You would like some of the benefits enjoyed by large corporations, but do not want to be taxed twice. You have 4 partners who will be shareholders. None of you plan to sell your ownership shares to the public, but do want to be protected from business liabilities. Which legal structure should you setup for your business?
S-Corporation
You need to create a legal structure for your small business. You have plans for it to grow and hope in the future to sell shares to the public. Your startup partners are citizens of Mexico and Japan. You do not want to be personally responsible for business liabilities. What legal structure should you set up for your business?
C-Corporation
Oversees the day-to-day administrative functions of a business; second in command.
COO
Chief Operating Officer
Expansion strategies are implemented and investment is balanced with potential.
Takeoff
Credit must be given to the creator
BY
You own a lawn care business. You have employees who work long hours laboring in good weather, often exceeding 40 hours per week. They also work short hours when the weather is bad, sometimes they can't work at all. You do all of the sales for your business. Which two types of compensation would be appropriate for these landscape employees?
Hourly & Salary
Expenses directly tied to the creation of a product or service
Direct cost
Expenses that support the overall business but can't be directly linked to a specific product or service.
Indirect costs
Focus shifts to revenue, expenses, and growth. Cashflow is the major issue.
Survival of the Fittest
Only noncommercial uses of the work are permitted
NC
Data that may contain personal bias like company newsletters and academic journals.
Secondary Data
Calculated by determining the difference in sales between two periods, dividing that difference by the prior period's sales, and then multiplying by 100. The formula is: ((Current Period Sales - Prior Period Sales) / Prior Period Sales) * 100
Sales growth percentage
Amount a customer pays for a product or service. A business calculates this price by adding their desired profit margin to the cost of producing or acquiring the product.
Selling Price
The business introduces itself to the market and attempts to catch the attention of potential customers.
Existence