ESB VOCABULARY

Break Even Formula To calculate the break-even point in units use the formula: Break-Even point (units) = Fixed Costs ÷ (Sales price per unit - Variable costs per unit) or in sales dollars using the formula: Break-Even point (sales dollars) = Fixed Costs ÷ Contribution Margin. Driving Sales the largest automotive marketing resource and car dealer social network, providing industry best practices and more Inventory Loan The loan is collateralized by the inventory it is used to purchase. O...

C Corporation Double taxed, shareholders and corporation, great for international businesses S Corporation Lower tax, pay on personal income only, like the C corporation but for smaller businesess. LLC great for individuals with low risks nonprofit organization owned by no one, no tax paid HUD Help America's housing needs and improve communities. SBA administrate loans and grants and provides education to entrepeneurs and small business. SCORE Partner of SBA, provides business mentoring...

Partners members of a company who share the risks and profits of the business Franchise A business that takes its name and characteristics from an existing business chain Stakeholder An individual with an interest in a business Prototype A preliminary product, commonly a product with minimum viability, from which to test and develop Service an intangivle service or skill that is performed Equity Non-cash compensations offered to employees in place of or in addition to a lower salary Stoc...

What is Entrepreneurship? A) Marketing and selling products. B) Setting up a business with the aim to make a profit. C) Acquiring leadership and managerial skills. D) Quickly advancing in positions within a corporation. B) Setting up a business with the aim to make a profit. 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 four partners who will be shareholders. Non...

Flexibility Ability to adapt, willingness to change Courage Takes risks in spite of possible losses Empathy Sensitive to thoughts and feelings of others What are three characteristics of entrepreneurs? Creativity, Determination, Enthusiasm After a self-assessment, a potential entrepreneur has learned that she has a very low risk tolerance. Based upon this finding, which approach might be less stressful for the entrepreneur to have her own business? Buy an existing business that is already ...

Flexibility Ability to adapt, willingness to change Courage Takes risks in spite of possible losses Empathy Sensitive to thoughts and feelings of others What are three characteristics of entrepreneurs? Creativity, Determination, Enthusiasm After a self-assessment, a potential entrepreneur has learned that she has a very low risk tolerance. Based upon this finding, which approach might be less stressful for the entrepreneur to have her own business? Buy an existing business that is already ...

Acquisition Cost the cost of obtaining data that you don't have Contingency costs amount of money included to cover potential events that are not specifically accounted for in a cost estimate Variable Cost a cost that rises or falls depending on how much is produced fixed costs costs that do not vary with production or sales level pro forma financial statement Small Business Administration (SBA) government agency that helps small business owners develop business plans and obtain financin...

In general, which characteristics define a "small" business? - fewer than 1,500 employees - less than $35.5 million revenue classify each of the following as either physical or digital PHYSICAL: - bakery in your community - hair salon that makes appointments online DIGITAL: - online store that dropships camping gear - bookstore on amazon that sells ebooks 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 t...

Online Networking Each day, Donnie posts the progress of her new building to Facebook as a countdown to opening her business. What type of networking is Donnie using? Increase of service Ophelia discovers her competitor's turnaround time is double her turnaround time. What should Ophelia's new marketing strategy be to woo back her customers? Which three things are defined when doing a self-assessment? Risk tolerance, strengths, and weaknesses Which description best fits an entrepreneur? ...

B2B A business-to-business (B2B) commercial transaction between businesses B2C A business-to-consumer (B2C) transaction Brand recognition The level of familiarity one has with a brand Business Opportunity A situation an entrepreneur analyzes and evaluates to see if starting a sustainable, profitable business is feasible Business Plan A document that addresses the concept, customers, and capital for a business C Corporation A C corporation is a legal structure for a corporation in which the...