A Guide to Business Terms

Breaking into the business world can be tricky, especially when people are throwing around a bunch of terms you may not have heard before. Below we’ve accumulated a list of some of these business-related terms and their basic definitions to help you get started.

  1. Acquisition - When one company purchases another. It’s different from a merger in that one company clearly takes ownership of the other

  2. Brand - A name, term, symbol or other feature that distinguishes one company or its product from another

  3. Capital - Financial wealth, more simply, things that have value

  4. Divestiture - The sale of an asset that is unprofitable

  5. Entrepreneur - A person who organizes and manages any business, typically associated with great risk

  6. Invest - To expend money with the expectation of achieving profit in the future

  7. Marketing - The promotion of a company’s product or service

  8. Merger - The combination of two companies into a single larger company

  9. Net worth - The value of a company (total assets minus total liabilities)

  10. Profit - The money a business makes after accounting for all costs or expenses

  11. Recruiter - A company representative whose job is to find and hire new employees

  12. Revenue - The amount of money a company receives during a specific period

  13. Shareholder - An owner of shares in a company

  14. Startup - A fast growing business that aims to meet a marketplace need with a new innovative product or service

  15. Stock - A share in the ownership of a company

  16. Venture capital - Investments in startup companies and small businesses that are believed to have long-term growth potential

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