Absolute Liability

Liability that is incurred due to product defects or negligent actions. Manufacturers or retail establishments are held responsible, even though the defect or action may not have been intentional or negligent.

Accessory Goods

Products required by commercial operations to conduct business, such as: office copiers, automobile wheel balancers, auxiliary power suppliers and air compressors.

Account Statement

A record of transactions, including payments, new debit and deposits, incurred during a defined period of time.

Advertising

A marketing tool used to capture public attention and influence purchasing decision for a product or service. Utilizes various forms of media to generate consumer response, such as flyers, magazines, newspapers, radio, television and Internet.

Agribusiness

The production and sale of commodities and products from the commercial farming industry.

Applied Research

Scientific study targeted to use in a product or process.

Balance Sheet

A financial statement listing the total assets and liabilities of a company at a given time.

Break-even Point

The point at which revenues exceed expenses.

Bridge Financing

A short-term loan made in expectation of intermediate-term or long-term financing. Can be used when a company plans to go public in the near future.

Broker

One who matches resources available for radical innovation with those who need them.

Brainstorming

Brainstorming is a group session where employees contribute their ideas for solving a problem or meeting a company objective without fear or retribution or ridicule. 

Business Angels

Wealthy individuals who are usually former entrepreneurs or executives who invest in entrepreneurial companies.

Business Architect

Business architect is a person that initiates new business ventures or leads business innovation, designs a winning business model, and builds a sustainable balanced business system for a lasting success.

Business Birth

The formation of a new establishment or enterprise.

Business Conditions

Outside factors that can affect the financial performance of a business.

Business Cycle

A period of economic recession and recovery. These cycles vary in duration.

Business Death

The voluntary or involuntary closure of a firm or establishment.

Business Failure

Closure of a business causing a loss to at least one creditor.

Business Format Franchising

The purchase of the name, trademark and an ongoing business plan of the parent corporation or franchiser by the franchisee.

Business License

A legal authorization issued by municipal and state governments and required for business operations.

Business Line

A distinct product or service, sold to a uniform set of customers facing a well defined set of competitors, offering products or services that are similar to each other.

Business Model

Business model converts innovation to economic value for the business. It describes how a business positions itself within the value chain of its industry and how it intends to sustain itself, that is to generate revenue.

Business Name

Enterprises must register their business names with local governments. The procedure is part of the business licensing process and prevents any other business from using that same name for a similar business in the same locality.

Business Plan

A document that spells out a company's expected course of action for a specified period, usually including a detailed listing and analysis of risks and uncertainties. For the small business, it should examine the proposed products, the market, the industry, the management policies, the marketing policies, production needs and financial needs. Frequently, it is used as a prospectus for potential investors and lenders.

Business Portfolio Analysis

Business portfolio analysis is a strategy development tool based primarily on the market share of businesses and the growth of markets in which businesses exist.

Business Process

The complete and dynamically coordinated set of collaborative and transactional activities that deliver value to customers.

Business Service Firm

An establishment primarily engaged in rendering services to other business organizations on an fee or contract basis.

Business Services

Services offered to commercial enterprises, such as: equipment maintenance, supplying of part time personnel, engineering design and management consulting.