DECA
Advertising – Paid promotion of products or services to attract customers.
Angel Investor – An individual who provides financial support to startups in exchange for equity, so provides a bridge to companies from self funded stage to level that attracts venture capital.
Assets – Anything of value owned by a business (cash, inventory, equipment).
Balance Sheet – A financial statement showing a company’s assets, liabilities, and equity at a given time.
Bankruptcy – A legal process where a business declares it cannot pay its debts.
Bootstrapping – Starting a business with little or no outside investment.
Branding – Creating a unique image or identity for a company or product.
Break-even Point – The level of sales at which total revenue equals total costs (no profit, no loss).
Business Plan – A formal document outlining a company’s goals, strategies, and financial projections.
Capital – Financial assets used to start or expand a business.
Cash Flow – The movement of money in and out of a business.
Collateral – An asset pledged as security for a loan.
Competitive Advantage – A unique strength that makes a business stand out from competitors.
Corporation – A legal entity separate from its owners with limited liability.
Debt Financing – Raising money through loans that must be repaid with interest.
Demographics – Characteristics of a target market (age, gender, income, etc.).
Depreciation – The decrease in value of an asset over time.
Differentiation – Making a product or service stand out from competitors.
Dividends – Payments made to shareholders from a company’s profits.
Equity – Ownership in a company, typically represented by shares.
Expenses – Costs incurred in running a business (rent, salaries, supplies).
Feasibility Study – An analysis to determine if a business idea is viable.
Franchise – A business model where individuals can buy the rights to operate under an established brand.
Fixed Costs – Business expenses that do not change with production levels (rent, salaries).
Intellectual Property (IP) – Legal protection for creations like inventions, trademarks, and copyrights.
Inventory – The goods a business has on hand to sell.
Joint Venture – A partnership where two or more businesses collaborate on a project.
Key Performance Indicators (KPIs) – Metrics used to measure a business’s success.
Liabilities – Debts or obligations a business owes (loans, accounts payable).
Limited Liability Company (LLC) – A hybrid business structure with limited liability and tax benefits.
Market Research – The process of gathering information about consumers and competitors.
Market Share – The percentage of an industry’s sales that a company holds.
Merger – When two companies combine to form a single entity.
Net Profit – The amount of money a business makes after all expenses are deducted.
Niche Market – A specific, targeted segment of a larger market.
Operating Costs – Expenses required to run a business daily.
Partnership – A business owned by two or more people.
Pitch – A short, persuasive presentation to investors or clients.
Price Elasticity – How demand for a product changes in response to price changes.
Profit Margin – The percentage of revenue that remains after expenses are deducted.
ROI (Return on Investment) – A measure of the profitability of an investment.
Scalability – The ability of a business to grow without losing efficiency.
Sole Proprietorship – A business owned and operated by one person.
Stakeholder – Anyone affected by a business’s success (employees, investors, customers).
Supply Chain – The process of producing and delivering a product to consumers.
SWOT Analysis – A business tool that examines Strengths, Weaknesses, Opportunities, and Threats.
Target Market – The specific group of consumers a business aims to serve.
Trademark – Legal protection for a brand name, logo, or slogan.
Variable Costs – Costs that change depending on production levels (raw materials, labor).
Venture Capital – Investment in startups in exchange for equity.
Wholesaler – A business that sells products in bulk to retailers.
Working Capital – The money available for a business’s day-to-day operations.
Zero-Based Budgeting – A budgeting method where every expense must be justified from zero.
Gross Profit – Revenue minus the cost of goods sold (COGS).
Guerrilla Marketing – Unconventional, low-cost marketing strategies to attract attention.
Inflation – The rate at which prices for goods and services rise over time.
Gross profit: is your revenue without subtracting your manufacturing or production expensess.
Net profit: is your gross profit minus the cost of all business operations and non-operations and is going to be a much more realistic representation of your company's profits.
Internal Audit: evaluates companies internal controls like corporate gov and accounting process (USED BY MANAGEMENT)
External Audit: financial review done by independent party not associated with company under audit (USED BY STAKEHOLDERS)
R & D records: research and develop process where company gains new knowledge and uses it to improve existing
Gap analysis: way of assessing performance of a business unit to see if its meeting the goals if not steps should be taken.
Equity financing: the process of raising capital through the sale of shares (COMMON TYPE = ANGEL INVESTORS)
Enterprise risk management (ERM): identifies hazards with company finances, operations and objectives (INCLUDED IN ANNUAL REPORT)
Action plan: strategies for reaching business goals
Product line: includes lines width, length and consistency
Best practices: help find and full knowledge gaps, best ways to achieve business goals
Crowdfunding: process of raising money online through many small donations from regular people rather than one large investor
Limited Partnership: business arrangement where operations are controlled by one or more general pretenders who legally responsible for losses based on their investment
Venture: risky project or business idea
Venture capital: private equity funding generally provides to start ups and early stage companies, financing where the startup offers partial ownership stake in the company for money.
Business incubator: workspace, coaching and support services to entrepreneurship and early stage businesses.
Patent: license granted to investor prevents others from utilizing their invention
Unicorn: startup company, usually privately held, reaches valuation of over 1 billion.