Chapter 2 Key Terms

Define the following key term: Company description.

• A brief overview of the company including the business name, a summary of the business, and location of the business.

• A detailed financial report of the company.

• A list of all employees and their roles.

• A comprehensive marketing strategy plan.

Define the following key term: Financial plan.

• Component of a business plan that contains strategies for how a business will obtain start-up capital, identify resources needed, and assess the costs and benefits of resources.

• A document outlining the marketing strategies and sales forecasts for a business.

• A section of a business plan that describes the organizational structure and management team.

• A report detailing the environmental impact of a business's operations.

Define the following key term: Management plan.

• Component of a business plan that refers to how a company will be organized.

• A financial statement outlining the company's revenue and expenses.

• A marketing strategy to promote the company's products.

• A list of the company's competitors and market position.

Define the following key term: Marketing plan.

• Component of a business plan that contains a strategy for how a business will generate revenue.

• A document outlining the financial goals of a business.

• A list of employees and their roles within a company.

• A schedule of daily operations for a business.

Define the following key term: Mission statement.

• A formal explanation of a company’s goals.

• A detailed financial report of a company.

• A list of products offered by a company.

• A company's employee handbook.

Define the following key term: Pro forma financial statement.

• A projection of what an entrepreneur expects out of the sales and expenses of a business.

• A historical record of a company's financial performance.

• A legal document required for business registration.

• A detailed analysis of market trends and consumer behavior.

Income earned by a business.

• Profit

• Revenue

• Money

• Assets