1.1.2 - risk and reward

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7 Terms

1
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Risk

The possibility that a business decision or activity will result in loss or failure

2
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Financial reward

The money a business person or entrepreneur earns from taking a risk like their income or profit

3
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Cash Flow

The movement of money in and out of a business showing how much cash is available to pay bills and expenses

4
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Market Research

The process of gathering information about customers needs, preferences and market trends to make better business decisions

5
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Sales revenue

The total amount of money a business receives from selling goods or services before any costs are deducted

6
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Investment

Spending money on something in order to make future profits or benefits

7
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Start-up

A new business that has just begun trading or is in the early stages of development