Term
| Small Business Administration (SBA) |
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Definition
| government agency charged with assisting small businesses. |
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| independently owned business that has relatively little influence in its market. |
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| businessperson who accepts both the risks and opportunities involved in creating and operating a new business venture. |
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Definition
| the process of seeking business opportunities under conditions of risk. |
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Definition
| document in which an entrepreneur summarizes her or his business strategy for a proposed new venture and how that strategy will be implemented. |
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Definition
| arrangement in which a buyer purchases the right to sell the good or service of the seller. |
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Definition
| group of small investors who invest money in companies with rapid growth potential. |
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Term
| Small-Business Investment Company (SBIC) |
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Definition
| government-regulated investment company that borrows money from the SBA to invest in or lend to a small business. |
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Term
| Small Business Development Center (SBDC) |
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Definition
| SBA program designed to consolidate information from various disciplines and make it available to small businesses. |
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Definition
| business owned and usually operated by one person who is responsible for all its debts. |
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Term
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Definition
| legal principle holding owners responsible for paying off all debts of a business. |
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Definition
| business with two or more owners who share in both the operation of the firm and the financial responsibility for its debts. |
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Definition
| type of partnership consisting of limited partners and a general partner. |
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Definition
| partner who does not share in a firm's management and is liable for its debts only to the limits of said partner's investment. |
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Definition
| partner who actively manages a firm and who has unlimited liability for its debts. |
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Term
| Master Limited Partnership |
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Definition
| form of ownership that sells shares to investors who receive profits and that pays taxes on income from profits. |
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Definition
| form of ownership in which a group of sole proprietorships and/or partnerships agree to work together for common benefits. |
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Definition
| business that is legally considered an entity separate from its owners and is liable for its own debts; owners' liabilities extend to the limits of their investments. |
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Definition
| legal principle holding investors liable for a firm's debts only to the limits of their personal investments in it. |
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Term
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Definition
| offer to buy shares made by a prospective buyer directly to a target corporation's shareholders, who then make individual decisions about whether to sell. |
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Term
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Definition
| situation in which taxes may be payable both by a corporation on its profits and by shareholders on dividend incomes. |
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Term
| Closely Held (Private) Corporation |
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Definition
| corporation whose stock is held by only a few people and is not available for sale to the general public. |
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Term
| Publicly Held (Public) Corporation |
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Definition
| corporation whose stock is widely held and available for sale to the general public. |
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Term
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Definition
| hybrid of a closely held corporation and a partnership, organized and operated like a corporation, but treated as a partnership for tax purposes. |
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Term
| Limited Liability Corporation (LLC) |
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Definition
| hybrid of a publicly help corporation and a partnership in which owners are taxed as partners but enjoy the benefits of limited liability. |
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Definition
| form of ownership allowing professionals to take advantage of corporation benefits while granting them limited business liability and unlimited professional liability. |
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Definition
| form of ownership allowing professionals to take advantage of corporation benefits while granting them limited business liability and unlimited professional liability. |
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Term
| Multinational (Transitional) Corporation |
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Definition
| form of corporation spanning national boundaries. |
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Term
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Definition
| roles of shareholders, directors, and other managers in corporate decision making and accountability. |
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Term
| Stockholder (Shareholder) |
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Definition
| owner of shares of stock in a corporation. |
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Term
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Definition
| governing body of a corporation that reports to its shareholders and delegates power to run its day-to-day operation while remaining responsible for sustaining its assets. |
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Term
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Definition
| top management team of a corporation. |
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Term
| Chief Executive Officer (CEO) |
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Definition
| top manager who is responsible for the overall performance of a corporation. |
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Definition
| strategy in which two or more organizations collaborate on a project for mutual gain. |
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Term
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Definition
| strategic alliance in which the collaboration involves joint ownership of the new venture. |
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Definition
| the union of two corporations to form a new corporation. |
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Definition
| the purchase of one company by another. |
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Definition
| strategy whereby a firm sells one or more of its business units. |
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Definition
| strategy of setting up one or more corporate units as new, independent corporations. |
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