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Chapter 6

Vocabulary

TermDefinition
Entrepreneur someone who takes a risk in starting a business to earn a profit
Entrepreneurship the process of starting organizing, managing, and assuming the responsibility fro a business
Venture Capital money provided by large investors to finance new products and new businesses that have a good chance to be very profitable
Innovation an invention or creation that is brand new
Improvement is a designed change that increases the usefulness of a product, service, or process
Small business an independent business with fewer than 500 employees
SBA a government agency that helps small business owners develop business plans and obtain financing and other support for their companies
Business Plan a written description of the business idea and how it will be carried out
Start-up Financing the amount of money needed to open the business
Short-term Financing the money needed to pay for the current operating activities of a business
Long-term Financing money needed for the main resources of a business (such as land, buildings, and equipment) that will last for many years
Created by: Jordan.Ray0411