Entrepreneurship Basics
What does "startup capital" mean?
The money needed to start a business.
JPS
Jamaica Public Service
What does it mean to "diversify your investments"?
To spread investments across different asset types to reduce risk.
What is a dividend?
A portion of a company's profits paid to shareholders.
Who was Jamaica's previous Finance Minister?
Dr Nigel Clarke
What is a "target market"?
A specific group of people a business aims to sell its products or services to.
NCBFG
National Commercial Bank Financial Group Ltd
What is the primary difference between a credit card and a debit card?
A credit card allows borrowing from the bank up to a limit, while a debit card uses funds directly from a bank account.
What is the difference between a "stock" and a "bond"?
A stock represents ownership in a company, while a bond is a loan made to a company or government.
What is the purpose of insurance?
The purpose of insurance is to provide financial protection against unexpected events or losses
What is an "LLC"?
A Limited Liability Company, a business structure that protects owners from personal liability
TJH
TransJamaican Highway Ltd
How much money is recommended for your emergency fund?
3 - 6 months worth of living expenses
What does it mean when a stock is said to have "high volatility"?
The stock's price fluctuates significantly over a short period of time
What is "money laundering"?
Money laundering is the process of making illegal money appear legal by moving it through complex transactions.
What is the difference between "revenue" and "profit"?
Revenue is the total money earned, while profit is revenue minus expenses.
BRG
Berger Paints Jamaica Ltd
What is the difference between a "fixed interest rate" and a "variable interest rate" on a loan?
A fixed rate stays the same for the loan term, while a variable rate changes based on market conditions.
What is a "stock split"?
When a company divides its existing shares into multiple new shares to lower the trading price, making the stock more affordable.
What is the difference between "secured" and "unsecured" loans?
A secured loan requires collateral (like a car or house), while an unsecured loan does not and is based on the borrower's creditworthiness.
3 Examples of intellectual property
Patents, trademarks, copyrights, trade secrets, design rights
JMMBGL
Jamaica Money Market Brokers Group Ltd
What is the "50/30/20 rule" in personal finance?
A budgeting rule where 50% of income goes to needs, 30% to wants, and 20% to savings or debt repayment.
What does it mean to "short sell" a stock?
Selling a stock that you don’t own, borrowing it from a broker with the intention of buying it back at a lower price to make a profit.
What is a "certificate of deposit" (CD)?
A CD is a savings account that holds a fixed amount of money for a set time, earning higher interest than regular savings accounts.