Title: Unit 2 Glossary
Course: BUS 135 Business Financial Fundamentals > Section: BUS 135 Business Financial Fundamentals

Unit 2 Glossary

Terms

Term | Definitions
Controlling | a three-step process to measure actual performance against an established standard.
Corporation | a three-step process to measure actual performance against an established standard.
Directing | giving the needed direction and guidance to workers for the purpose of accomplishing the company’s mission and goals.
Executive Summary | recap of the overall business plan, written last by the business manager and read first by investors.
Financial Planning | determining the money needed to carry out the functional plans in a company or organization, and as a result, establishes the overall company budget.
Franchise | the business owner or franchisee purchases the right to sell goods or services of a specific seller or franchisor.
Functional Plan | specific plans for functional areas of the business driven by the strategic plan and support the achievement of strategic goals.
General Partnership | co-owners, usually as managing partners, operate a business with unlimited liability.
Goal Setting | identifying a measurable objective that is to be achieved in a specific time frame.
Limited Liability Partnership | business form that taxed as a partnership and its members have limited liability like that of corporate shareholders.
Limited Partnership | co-ownership including one or more general partners and several limited partners.
Management | coordination of working with or using the efforts of others to achieve a goal effectively and efficiently.
Mission Statement | a statement of purpose of the company or organization and its philosophy or guidelines for its existence.
Organizing | putting the structure, procedures, processes in to place that carry out the functional plan.
Partnership | business co- ownership by two or more individuals who participate in operating the business for a profit.
Planning | establishing future goals and identifying the process required to achieve the goals.
Private Corporation | a corporation that does not sell its stock on the open market, and has been formed under state law.
Public Corporation | a corporation whose stock is traded on the open market.
Sole Proprietorship | form of business owned and operated by an individual for profit.
Staffing | finding the most capable individuals or groups to carry out the business plans at the functional and strategic levels.
Strategic Planning | developing plans for long-term (more than 12 months) determined by the direction decided by business owners/ managers.
Subchapter S Corporation | a privately held corporation that is granted Subchapter S status by the IRS; required to have less than 100 shareholders.