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