#separator:tab #html:false #tags column:4 Entrepreneur A person who starts and runs a business and takes the risk tp-business-terms Startup A young company building a new product or service tp-business-terms Business plan Written description of a business's goals and how it will reach them tp-business-terms Mission statement A short statement of a company's purpose tp-business-terms Vision statement A description of what a company hopes to become tp-business-terms SWOT analysis Reviewing strengths, weaknesses, opportunities and threats tp-business-terms Sole proprietorship A business owned and run by one person tp-business-terms Partnership A business owned by two or more people tp-business-terms Corporation A legal entity separate from its owners tp-business-terms LLC Limited liability company, protecting owners' personal assets tp-business-terms Shareholder Owner of shares in a corporation tp-business-terms Stock A share of ownership in a company tp-business-terms Dividend A payment of company profit to shareholders tp-business-terms Board of directors Group elected by shareholders to oversee a company tp-business-terms CEO Chief executive officer, the top manager tp-business-terms CFO Chief financial officer tp-business-terms Franchise A license to run a business under a larger brand tp-business-terms Nonprofit An organization whose surplus goes to its mission, not owners tp-business-terms Revenue Money a business earns from sales tp-business-terms Profit Revenue minus costs tp-business-terms Profit margin Profit as a percent of revenue tp-business-terms Overhead Ongoing costs not tied directly to a product tp-business-terms Fixed cost A cost that stays the same regardless of output tp-business-terms Variable cost A cost that changes with output tp-business-terms Break-even point Sales level where revenue equals total costs tp-business-terms Cash flow Money moving in and out of a business tp-business-terms Budget A plan for expected income and spending tp-business-terms Capital Money or assets used to run or grow a business tp-business-terms Venture capital Investment in young companies with growth potential tp-business-terms Angel investor A wealthy individual who invests in startups tp-business-terms Crowdfunding Raising small amounts from many people tp-business-terms Bootstrapping Funding a business from its own revenue or savings tp-business-terms Equity Ownership value in a company tp-business-terms Debt Money owed tp-business-terms Asset Something of value the business owns tp-business-terms Liability Something the business owes tp-business-terms Supply chain The network moving goods from producers to customers tp-business-terms Inventory Goods held for sale or production tp-business-terms Just-in-time Receiving goods only when they are needed tp-business-terms Outsourcing Hiring outside firms to do work tp-business-terms Vendor A seller of goods or services to a business tp-business-terms Wholesale Selling goods in bulk to retailers tp-business-terms Retail Selling goods directly to consumers tp-business-terms E-commerce Buying and selling online tp-business-terms Monopoly One firm controls a market tp-business-terms Competitive advantage What lets a company outperform rivals tp-business-terms Market share A company's percent of total sales in a market tp-business-terms Brand The name, look and reputation of a product or company tp-business-terms Value proposition The promise of value a customer will get tp-business-terms Niche A specialized segment of a market tp-business-terms Target market The group of customers a business aims to serve tp-business-terms Merger Two companies combining into one tp-business-terms Acquisition One company buying another tp-business-terms Initial public offering (IPO) First sale of stock to the public tp-business-terms Public company A company whose shares trade on a stock exchange tp-business-terms Private company A company whose shares are not publicly traded tp-business-terms Bankruptcy Legal process for people or firms unable to pay debts tp-business-terms Insolvency Inability to pay debts when due tp-business-terms Liquidation Selling off assets to pay debts tp-business-terms Audit Independent examination of financial records tp-business-terms Compliance Following laws and regulations tp-business-terms Ethics Principles of right and wrong in business conduct tp-business-terms Corporate social responsibility A company's duty to act for society's benefit tp-business-terms Stakeholder Anyone affected by or interested in a company tp-business-terms Human resources The function managing hiring, pay and employee matters tp-business-terms Onboarding Helping new employees join and learn their jobs tp-business-terms Performance review Evaluation of an employee's work tp-business-terms Delegation Assigning tasks to others tp-business-terms Organizational chart Diagram of who reports to whom tp-business-terms Span of control Number of people a manager directs tp-business-terms Leadership Guiding and motivating people toward goals tp-business-terms Autocratic leadership Leader makes decisions alone tp-business-terms Democratic leadership Leader involves the team in decisions tp-business-terms Motivation The drive to act toward a goal tp-business-terms Productivity Output per unit of input tp-business-terms Efficiency Producing results with little waste tp-business-terms Quality control Checking that products meet standards tp-business-terms Lean manufacturing Eliminating waste in production tp-business-terms Six Sigma A method to reduce defects and variation tp-business-terms Kaizen Continuous small improvements tp-business-terms Key performance indicator (KPI) A measurable value showing progress toward a goal tp-business-terms Return on investment (ROI) Gain from an investment relative to its cost tp-business-terms Scalability Ability to grow without a matching rise in cost tp-business-terms Pivot A major change in business strategy tp-business-terms Minimum viable product The simplest version of a product that tests an idea tp-business-terms B2B Business-to-business sales tp-business-terms B2C Business-to-consumer sales tp-business-terms Contract A legally binding agreement tp-business-terms Invoice A bill sent for goods or services provided tp-business-terms Procurement The process of buying goods or services for a business tp-business-terms Benchmarking Comparing performance to the best in the field tp-business-terms Globalization Business activity across national borders tp-business-terms Tariff A tax on imported goods tp-business-terms Exchange rate The price of one currency in another tp-business-terms