Glossary
Angel Investor
Angel investor – (finance) an angel investor is a wealthy individual who invests in startup and early stage businesses in exchange for ownership equity or convertible debt. A typical angel will invest between $25,000 and $100,000. Angels often organize themselves into pools or syndicates where several angels will pool funds to make a single larger …
Asset-based financing
Asset-based financing describes any kind of lending that uses assets as collateral for the loan. Often this specialized loan financing is based on accounts receivable, inventories or equipment.
Board of Directors
board of directors – (finance) The board of directors is the governing body who oversee major decisions for the company including setting policy and appointing corporate officers. The board of directors are elected by the shareholders and represent the interest of the shareholders in a corporation.
Business Identity
The combination of colors, formats, names and designs a company uses to visually communicate and identify the business. A business identity may include a number of trademarks or brand identifiers and almost always includes names and logos but also is found in the design of the place of business, uniforms and atmosphere of the business.
Common Stock
common stock – (finance) The basic unit of equity ownership in a corporation that represents the total value of a corporation’s assets (sometimes called the residual interest). Common stock carries voting rights in the corporation and entitles the shareholder to participate in appreciation of corporate assets through dividend payments or in the value of their …
Corporate Identity
The corporate identiy or corporate image are the elements of the business that define the business in the marketplace. Name, logo, color scheme, and are primary elements that get carried through all aspects of a corporate identity including business cards and stationary, signage, and advertising.
Cumulative Preferred Stock
cumulative preferred stock – (finance) A type of preferred stock giving the shareholder the right to receive a dividend. If the dividend is not paid out they accumulate as an obligation of the corporation to the shareholder and must be paid in full before any distributions to common shareholders.
Debt Financing
Debt Financing – (financial term) debt financing refers to the process of taking a loan in exchange for the payment of the principal loan amount plus a specified rate of interest over a certain time schedule. The advantage to debt financing for a business is that the inflow of capital does not dilute the ownership …
Dividends
dividends – payments by a corporation to shareholders in the form of cash, additional shares or property.
Domain Name
Domain Name – A Domain Name is an address that is used to identify specific web servers, like addresses on the internet. For example, www.thestartcompany.com tells your web browser where to go to find the website for The Start Company.
