Small Business Management:
Terminology: Definition:
Accounts Money debtors owe
Receivable
Break even Where total revenue equals total costs
Budget Statement of income and expenditure
Contract A legally binding agreement between two or more
people
Corporate Affairs A place where a business is registered
Commission
Depreciation Funds set aside to cover the wearing out of an asset
Equity A share of accumulated funds of a company
Entrepreneur Risk taker, but if successful gains a hefty amount
of money
Franchise An agreement, busines permitted use registered name
under license
Incorporation Process by which a firm legally becomes a company
Inventory A list of stock waiting to be sold
Labour Turnover The percentage of employees who leave work volentarily.
Leverage (Gearing) Using borrowed funds to purchase assets, or to
even continue in operation
Mark-up Additional costs added upon the total cost of
the product sold, in which to establish a retail price
National Debt Public sectors debts, which the Government owes
(Doesn't include Corporations)
Net worth Total Assets - Total Liabilities
Patent Copyright placed on a product/service which
stops other companies from copying the design
or using it without the companies permission
Professional An insurance protecting a company (particularly
Indemnity companies such as stockbroking agencies, accounting
services, etc)when an individual in an organisation
gives damaging advice, or provides a faulty service
or product
Profit margin The amount made after passing a break-even point
Public Risk An insurance covering the business against any
injuries sustained while a member of the public
is dealing with a business
Seed Capital The initial amount of money invested into the
business, when starting a business. Capital
given to develop an idea
Taxation Money charged by the government to all people,
who earn over a certain amount must pay back
some of it to the government, a tax also exists for
the profits of a company
Terms of Trade A ratio of export prices to import prices
Transfer of title Transfer of ownership of an item/product/land
Worker's An insurance which covers emloyers when workers
Compensation fall ill, or attain an injury while in a working
environment
Working Capital The difference extra between your assets and your
liabilities
Product Marketing:
Customer base All your customers
Distribution The method of how a product arrives to the
customer
Gross profit The amount of money after costs have been taken
away from the amount from sales
Marketing Activities concerned with gathering and analysing
Research information to enable decisions on target markets
and the marketing mix
Pre-Tax Profit See Gross Profit
Product The business is liable for faulty products it
Liabilities produces when an injury occurs
Product The activities of a business based around a
Orientation certain product
Profitability How profitable/viable/cost effective a product
is
Representitive Individuals or companies who sell your products
Industrial Relations:
Absenteeism Accounts for between 13 to 18 times more working
days lost per year than those lost through strikes
ACTU Australian Council of Trade Unions - Federal
association representing trade unions
Arbitration Resolution of a dispute via a legally binding
decision
Autocratic Style A non-democracy type of management
Management
Award Legal agreements that set out the terms and
conditions of employment
Boycotts Protests and restrictions impossed by a union
eg. when workers refuse to perform certain tasks
in relation to certain demands
Collective Direct negotiations between unions and management
Bargining
Conciliation Process whereby a third party tries to find
comprimise
Deregistration Can happen to a union in cases of industrial
misconduct or repeated rejection of industrial
relations principles or orders
Dispute Created when a log of claims is served by one
party and rejected by another
Employer They guide their members in relation to awards
Association and legislations and promote commercial intrests
of members
Fringe Benefit Non-wage forms of income, provided by an employer,
eg. a company car
Industrial The study of how individuals, grouped, organisation
Relations and institutions make decisions that shape the
employment relationship between management and labour
IRC Industrial Relations Commission - Federal body
established to settle industrial disputes
Lockout A direct form of action involving the employer not
allowing workers to enter the place of work
Log of Claims List of demands by a union
Managerial Rules established by management
Policy
Mediation Intervention into a dispute by a neutral third
party, who is not acting on state or federal legislation
Negotiation Workers meet management to discuss issues without
the intervention or assistance of authorities
Occupational Issues concerning a workers welfare
Health & Safety
Orders A demand by the IRC for certain actions to be taken
by employee and/or employers
Party Government, Tribunals, Employees, Employers, Employer
associations, and Trade Unions
Picket Physical presence of workers protesting outside a
business
Shop Steward On-site union representitive
Trade Union A group of workers who join together to improve
wages and working conditions
Union Organiser Off-site union representitive
Work Ban A refusal to undertake a certain request
Work Practices Rules about non-wage issues
Converted on 22 Jul 1996 with RexxDoesAmigaGuide2HTML by Michael Ranner.