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9 Cards in this Set
- Front
- Back
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Revenue |
The income generated from sale of goods or services, or any other use of capital or assets, associated with the main operations of an organization before any costs or expenses are deducted. Revenue is shown usually as the top item in an income (profit and loss) statement from which all charges, costs, and expenses are subtracted to arrive at net income. Also called sales, or (in the UK) turnover. |
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Limited company |
Private company whose owners are legally responsible for its debts only to the extent of the amount of capital they invested. |
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Unlimited company |
An unlimited company can be incorporated with the shareholders having unlimited liability; that is, an ultimate liability to meet any shortfall to creditors on a liquidation. These are rare. They are registered in the same way as limited liability companies and operate similarly. The difference lies in the presence of a constitution providing for unlimited liability and a name that does not end in Limited or Tapui (Limited). Sole traders and partnerships have unlimited liability. |
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Effective communication |
• helps us better understand a person or situation • enables us to resolve differences • build trust and respect • create environments where creative ideas can flourish • helps problem solving |
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What skills does an entrepreneur need? |
Resiliency. Focus. Invest for the long-term. Find and manage people. Sell. Learn. Self-reflection. Self-reliance. |
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Insolvency |
An individual or a firm is unable to meet their financial obligations. |
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Under-capitalization |
Any situation where a business cannot acquire the funds they need. An under-capitalized business may be one that cannot afford current operational expenses due to a lack of capital, which can trigger bankruptcy. |
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Problems small businesses face |
• Under-capitalisation. • Under pricing: not breaking even or making a profit even when making good sales. • Specialist skills but poor management skills. • No business plan. • Market dominated by larger business. |
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Getting start up capital for small business |
• Personal savings • Loans from friends/family • Banks • Borrow against property e.g. house |
