Glossary of Terminologies related to Entrepreneurship

1 Account A record of a business transaction. A contract

arrangement, written or unwritten to purchase and
take delivery with payment to be made later as
arranged
2 Account The difference between the debit and credit sides of
balance an account.
3 Accountability Explaining decisions, actions or use of money to
stakeholders.
4 Acquisition An acquisition is when one company purchases most or
all of another company's shares to gain control of that
company.
5 Administrat Administrative expenses are expenses that an
ive organization incurs that are not directly tied to a
expenses specific core function such as manufacturing,
production, or sales. These overhead expenses are
related to the organization as a whole, as opposed to
individual departments or business units.
6 Advisor An individual provides guidance, connections, advice
and support to the entrepreneur, often in return for a
small equity stake.
7 Advisory A group of individuals who've been selected to help
Boards advise a business owner regarding any number of
business issues, including marketing, sales, financing,
expansion and so on; a body that advises the board of
directors and management of a corporation but does
not have authority to vote on corporate matters
8 Angel An angel investor (also known as a private investor,
Investors seed investor or angel funder) is a high-net-worth
individual who provides financial backing for small
start-ups or entrepreneurs, typically in exchange for
ownership equity in the company. Often, angel
investors are found among an entrepreneur's family
and friends. The funds that angel investors provide
may be a one-time investment to help the business
get off the ground or an ongoing injection to support
and carry the company through its difficult early
stages.
9 Article of A legal document filled with the state sets forth the
Incorporation purposes
and regulations for a corporation. Each state has
different guidelines

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1 Artisans An artisan is a skilled craft worker who makes or
0 creates material objects partly or entirely by hand.
These objects may be functional or strictly decorative,
for example furniture, decorative art, sculpture,
clothing, food items, household items and tools and
mechanisms such as the handmade clockwork
movement of a watchmaker.
1 Assessment Action aimed at understanding a situation in order to
1 identify the problem(s), the source of the problem(s),
and the consequences of the problem(s).
1 Asset Any item of value. In business, cash, inventory, furniture
2 and machinery are all examples of assets
1 Average total The sum of all the production costs divided by the
3 cost number of units produced.
1 Balance Sheet A condensed financial statement showing the nature
4 and total value of a company's assets, liabilities, and
capital on a given date.
1 Baseline data Baseline data are initial information collected during
5 an assessment. Baseline data include facts, numbers
and description and permit the measurement of the
impact of project implemented by comparing the
situation that existed before and after project
implementation.
1 Basic needs The items that people need to survive. This can
6 include safe access to essential goods and services
such as food, water, shelter, clothing, health care,
sanitation and education.
1 Benchmark A standard or point of reference in measuring or
7 judging the current value or success of your company
in order to determine your future business plans
1 Beneficiaries The project beneficiaries also called the target group
8 or the target beneficiaries of the project are those
who will benefit from the project.
1 Board of A group of people who manage or control a business.
9 Directors The board of directors of a corporation is chosen by
the stockholders. Unincorporated business owners
sometimes appoint a board of directors to advise the
business.
2 Bootstrap Financing a business by creatively stretching existing
0 financing capital as far as possible, including extensive use of
the entrepreneur's time.
2 Bootstrapping Bootstrapping is the art of promoting and developing
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1 a business by harnessing one's own resources -
without reliance on outside help. It is fundamentally
different from big money
model of entrepreneurship.

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2 Breakeven The point of business activity when total revenue
2 equals total expenses. Above the breakeven point, the
business is making a profit. Below the breakeven
point, the business is incurring a loss.
2 Budget An estimate of the income and expenditure for a
3 future period of time, usually one year
2 Busines An organization designed to accelerate the growth
4 s and success of entrepreneurial companies through an
Incubat array of business support resources and services that
or could include physical space, capital, coaching,
common services, and networking connections
2 Business A business model describes how an organization
5 Model creates, delivers, and captures value, in economic,
social, cultural or other contexts. The process of
business model construction and modification is also
called business model innovation and forms a part of
business strategy.
2 Business Name The name by which people know your business.
6 Different from your dba--which is the legal name you
register for your business, this is the name you'd use
to advertise and sell your products and services.
2 Business Legal definitions vary; in its simplest terms, a
7 Opportuni business opportunity is a packaged business
ty investment that allows the buyer to begin a business.
The Federal Trade Commission and 25 states regulate
the concept.
2 Business A legal document that offers proof of compliance with
8 Permits certain city or state laws regulating structural
appearances and safety as well as the sale of
products
2 Business Plan A written document detailing a proposed venture,
9 covering current status, expected needs and projected
results for the enterprise. It contains a thorough
analysis of the product or service being offered, the
market and competition, the marketing strategy, the
operating plan, and the management as well as profit,
balance sheet, and cash flow projections.
3 Business Business Technology as a concept describes all
0 Technology technology that helps an organisation run its business
and operational processes. That technology can be
customer-facing applications and solutions, business-
critical production and logistics solutions, or back
office financial systems, among
others.

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3 Capacity Capacity-building is defined as the process of
1 building developing and strengthening the skills, instincts,
abilities, processes and resources that organizations
and communities need to survive, adapt, and thrive in
a fast-changing world. An essential ingredient in
capacity-building is transformation that is generated
and sustained over time from within; transformation
of this kind goes beyond performing tasks to changing
mind-sets and attitudes.
3 Capital Capital is a term for financial assets, such as funds
2 held in deposit accounts and/or funds obtained from
special financing sources such as investment or loans.
In simple terms, money available to invest the total of
accumulated assets available for production or
services.
3 Cash flow The actual movement of cash within a business; the
3 analysis of how much cash is needed and when that
money is required by a business within a period of
time
3 Cash Provision of money to targeted households or persons,
4 grant/cash given without any requirement to work. Can be given
transfer as emergency relief, for support to livelihood
recovery, or as a social safety net.

3 Central Central Public Procurement Portal (CPPP), a

5 Public Government of India online portal that has been setup
Procureme with the primary objective of providing single point
nt Portal access to the information on procurement made
across various Ministries/ Departments and all the
organisations under them. Start-ups may now register
on [Link] and [Link] to become

3 Collateral Something of value given or held as a pledge that a

6 debt or obligation will be fulfilled

3 Commercializa Commercialization or commercialisation is the process

7 tio n of introducing a new product or production method
into commerce—making it available on the market.
The term often connotes especially entry into the
mass market, but it also includes a move from the
laboratory into commerce.
3 Company A person who represents a company, industry or cause
8 Spokesperson in the media.
3 Competition Rivalry in business for customers or markets.
9 Competition in a free market leads to lower prices
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and produces better
quality goods and services for customers.

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4 Convertib A convertible debenture is a type of long-term debt
0 le issued by a company that can be converted into
Debentur shares of equity stock after a specified period.
es Convertible debentures are usually unsecured bonds
or loans, often with no underlying collateral backing up
the debt.
4 Corporate A blend of the values, beliefs, taboos, symbols, rituals
1 Culture and myths all companies develop over time

4 Corporate Rules and safeguards designed to ensure that a

2 Governan company's executives and employees behave legally
ce and ethically.
4 Corporate Corporate social responsibility (CSR) is a self-
3 Social regulating business model that helps a company be
Responsibility socially accountable
– to itself, its stakeholders, and the public
4 Corporation A voluntary organization of persons, either actual
4 individuals or legal entities, legally bound together to
form a business enterprise; an artificial legal entity
created by government grant and treated by law as
an individual entity.
4 Creative Thought process that involves looking at a situation or
5 thinking object in new ways; also called lateral thinking

4 Creativity Creativity is the ability to come up with new ideas and

6 to identify new and different ways of looking at a
problem and opportunities

4 Credit The Credit Guarantee Fund Scheme for Micro and

7 Guarantee Small Enterprises (CGS) was launched by the
Fund Government of India (GoI) to make available
collateral-free credit to the micro and small enterprise
sector. Both the existing and the new enterprises are
eligible to be covered under the scheme.
4 Dairy The department of Animal Husbandry, dairying and
8 Entrepreneurs fisheries is implementing Dairy Entrepreneurship
hip Development Scheme (DEDS) for generating self-
Development employment opportunities in the dairy sector,
Scheme covering activities such as enhancement of milk
production, procurement, preservation,
transportation, processing and marketing of milk by
providing back ended capital subsidy for bankable
projects. The scheme is being implemented by
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National Bank for Agriculture and Rural
Development (NABARD)

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4 Debt Capital Debt capital is the capital/finance that a business
9 raises by taking out a loan or other financial security
(in this context, debt capital can be an alternative to
equity capital).
5 Debt linked Debt instruments are tools an individual, government
0 entity, or business entity can utilize for the purpose of
obtaining capital. Debt instruments provide capital to
an entity that promises to repay the capital over time.
Loans and bonds are the types of debt instruments.

5 Delegation The assignment to others of the authority for

1 particular functions, tasks and decisions

5 Demographics A statistical view of a population, generally including

2 age, gender, income, schooling, occupation and so on
5 Distributors Individuals or businesses that purchase the right to
3 sell ABC Corp.'s products but not the right to use
ABC's trade name (ABC - Dummy Company Name)

5 Due In the world of start-ups, the term 'due diligence'

4 diligence of refers to an audit of a company that has been
start-ups performed in order to discover possible business
liabilities or deficiencies in light of a planned business
transaction, such as an acquisition or an investment.
In simple terms, it is the process performed by
investors to assess the viability of an investment
target, and to ensure that the information provided by
the start-up is accurate.
5 Ecosystem It consists of many players, ranging from the
5 government to universities that play an important role
in fostering entrepreneurship.

5 Economic Economic development is the process by which the

6 Developm economic well-being and quality of life of a nation,
ent region, local community, or an individual are
improved according to targeted goals and objectives.

5 Economic Economic growth can be defined as the increase or

7 Growth improvement in the inflation-adjusted market value of
the goods and services produced by an economy over
a certain period of time. Increases in capital goods,
labor force, technology, and human capital can all
contribute to economic
growth.

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5 Economic Economic security is 'the condition of an individual,
8 security household or community that is able to cover its
essential (economic) needs (including food) and
unavoidable expenditures in a sustainable manner,
according to its cultural standards'.
5 Economic Economic self-sufficiency implies that each individual
9 Self- has the means to insure sufficient revenue and
sufficiency increasing stability. That every member of the most
vulnerable groups has a secure and sufficiently
remunerated occupational activity as soon as
possible.
6 Ecosystem An ecosystem is an interconnected environment with
0 diverse players and systems that support each other.

6 Enterprise IT is an organization, especially a business, or a

1 difficult and important plan, especially one that will
earn money.
6 Entity Private Limited Company (under The Companies Act,
2 2013) or a Registered Partnership Firm (under The
Indian Partnership Act, 1932) or Limited Liability
Partnership (under The Limited Liability Partnership
Act, 2008)
6 Entrepreneur An intuitive, resourceful, tenacious actor who is able
3 to recognize and develop risky opportunities with
potential for innovation, and who adds value to what
already exists by setting up activities that involve a
scarce use of resources.
6 Entrepreneurs The Entrepreneurship is the practice of
4 hip starting new businesses or developing
new products or services.
6 Equipment Physical property of a more or less permanent nature
5 ordinarily useful in carrying on operation, other than
land, buildings, or improvements to either of them.
Examples are machinery, tools, trucks, cars, ships,
furniture and furnishings.

6 Equity A financial investment in a business. An equity

6 investment carries with it a share of ownership of the
business, a stake in the profits, and a say in low it is
managed.
6 Equity Equity financing involves selling a portion of a
7 financing company's equity in return for capital.
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6 Equity sharing Start-up equity refers to the degree of
8 ownership stakeholders have of a company.
This typically refers to the
value of shares that founders, investors, and
employees are

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 issued. As a founder, he wants to make sure sharing
ownership of his business is done thoughtfully and
productively.
6 Evaluation The systematic and objective assessment of an on-
9 going or completed operation, programme or policy,
its design, implementation and results. The aim is to
determine the relevance and fulfilment of objectives,
as well as efficiency, effectiveness, impact and
sustainability.
7 Excess Volume or capacity over and above that which is
0 Capacity needed to meet peak planned or expected demand.

7 Excess The situation in which the quantity demanded at a

1 demand given price exceeds the quantity supplied.

7 Executi A nontechnical summary statement at the beginning

2 ve of a business plan that's designed to encapsulate your
Summa reason for writing the plan
ry
7 Existence It is the 1st stage of the start-up development phases.
3
7 Family A business actively owned and/or managed by more
4 business than one member of the same family

7 Financial Financial Management is the application of general

5 Managem principles of management
ent to the financial possessions of
an enterprise
7 Financial Estimates of the future financial performance of a
6 Projections business

7 Financia A written report of the financial condition of a firm.

7 l Financial statements include the balance sheet,
Stateme income statement, statement of changes in net worth
nt and statement of cash flow.

7 Founder A founder is a person who has an idea for a business

8 or product and transforms that idea into a start-up or
company. Start- ups often feature multiple partners
with unique capabilities, all dedicated to building a
company’s groundwork before hiring their first
employee.
7 Fund raising Generally a term used to represent the process of
9
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generating capital via exchanging equity for external
investment (can also include alternative means of
generating capital such as
crowd funding or debt finance).

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8 Funding Funding refers to the money required to start and run
0 a business. It is a financial investment in a company
for product development, manufacturing, expansion,
sales and marketing, office spaces, and inventory.
Many start-ups choose to not raise funding from third
parties and are funded by their founders only (to
prevent debts and equity dilution). However, most
start-ups do raise funding, especially as they grow
larger and scale their operations.
8 Governme Agreementsthat outline business transactions
1 nt between companies and government
Contracts entities
8 Government Government e Marketplace (GeM) is an online
2 e- platform for public procurement in India.
marketplac
e
8 Grant Money provided by a government agency or other
3 organization that does not need to be repaid and does
not purchase equity.

8 Growth Growth is a dynamic process – a change in size from

4 one moment to another – that shapes the new
venture as the process unfolds.

8 Handholding Handholding is a careful support or guidance in

5 starting the business from good idea to good
business.
8 Home A business whose primary office is in the owner's
6 Based home. The business can be any size or any type as
Business long as the office itself is located in a home.

8 Household A group of people, each with different abilities and

7 needs, who live together most of the time and
contribute to a common economy, and share the food
and other income from this.

8 Househo The sum of ways in which households access,

8 ld strengthen and maintain their cash and in-kind
econom incomes to cover their essential needs (food, cash
y income, and assets such as savings, livestock, land
etc).
8 Income Also known as a "profit and loss statement", it shows
9 statement a firm's income and expenses and the resulting profit

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 or loss over a specified period of time.
9 Incubation Incubation is a unique and highly flexible
0 combination of business development processes,
infrastructure and people,

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 designed to nurture and grow new and small
businesses by supporting them through the early
stages of development
9 Information A term that encompasses all forms of technology used
1 Technology to create, store, exchange and utilize information in
its various forms including business data,
conversations, still images, motion pictures and
multimedia presentations
9 Innovation Innovation refers to an individual or organization
2 creating new ideas, such as new products, workplace
processes and upgrades to existing services or
products. In business, innovation can promote growth,
help ensure the organization can compete with new
market trends and help generate profit.

9 Intellect An intangible asset of value. The protections of IP—

3 ual trademarks, copyrights and patents—determine if you
Property can prevent other people from copying these
creations, and whether or not you yourself can use
them freely.
9 Intellectual A licensing is a partnership between an intellectual
4 Property property rights owner (licensor) and another who is
Rights authorized to use such rights (licensee) in exchange
Licensing for an agreed payment (fee or royalty).

9 Interest The cost incurred in borrowing and using someone

5 else's money or alternatively, the income earned by
allowing others to use your money

9 Intrapreneur Someone who takes on entrepreneur like ventures

6 within a large corporate environment.

9 Invention The creation of a new technology, item, or process, as

7 opposed to its application in widespread use.

9 Investme Initial investment capital necessary for starting a

8 nt business usually consisting of inventory, equipment,
Capital pre-opening expenses and leasehold.

9 Iteration When creating something new as an entrepreneur,

9 iteration describes the process of refining the idea or
concept. The spirit of entrepreneurship urge towards
iterating in small steps towards “better” instead of
hoping one large step gets
us to “best.”

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100 Kiosks A small, enclosed stand from which merchandise is
sold, often placed in the common area of a shopping
centre or public concourse

101 Land reform A deliberate attempt to reorganise and transform

existing agrarian systems with the intention of
improving the distribution of agricultural incomes and
thus fostering rural development. Among its many
forms, land reform may entail provision of secured
tenure rights to the individual farmer, transfer of land
ownership away from small classes of powerful
landowners to tenants who actually till the land,
appropriation of land estates for establishing small
new settlement farms, or instituting land
improvements and irrigation schemes.
102 Lean start-up A method used to validate a business concept quickly
and cheaply when founding a new company or
introducing a new product.

103 License Formal permission to conduct business

104 Limited A legal entity that is not taxable itself and distributes
Liability the profits to its owners, but shields personal assets
Company from business debt like a corporation.
(LLC)
105 Limited A business arrangement in which the day-to-day
Partners operations are controlled by one or more general
hip partners and funded by limited or silent partners who
are legally responsible for losses based on the
amount of their investment.
106 Liquidity The ability of an asset to be converted to cash as
quickly as possible and without any price discount.

107 Liquidity The ability of a business to meet its financial

responsibilities. The degree of readiness where assets
can be converted into cash without loss.

108 Manufactur Any business that uses components, parts or raw

ing materials to make a finished good. These finished
business goods can be sold directly to consumers or to other
manufacturing businesses that use them for making a
different product.
109 Market A set of potential or real buyers or a place where there
is a demand for products or services. Actual or

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potential buyers
of a product or service.

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110 Market Research intended to understand how a market
Analysis usually functions, how it has been impacted by a crisis
and to identify the need for and most appropriate type
of support. Research can include information on supply
and demand, price changes and income/salary data.

111 Market Total volume purchased in a specific geographic area

demand by a specific customer group in a specified time
period under a specified marketing program.

112 Market Market entry strategy is a planned distribution and

entry delivery method of goods or services to a new target
strategy market. In the import and export of services, it refers
to the creation, establishment, and management of
contracts in a foreign country.

113 Market An anticipated demand that results from a planned

forecast marketing expenditure

114 Market The process of gathering, analysing and interpreting

Research information about a market, about a product or service
to be offered for sale in that market, and about the
past, present and potential customers for the product
or service; research into the characteristics, spending
habits, location and needs of your business's target
market, the industry as a whole, and the particular
competitors you face
115 Market share A company's percentage share of total sales within a
given market.

116 Market The study of the spending characteristics and

Surveys purchasing power of the consumer who are within
your business's geographic area of operation; a
research method for defining the market parameters
of a business.
117 Market Testing To test multiple marketing scenarios and select the
most promising for start-ups or expansion.

118 Merchant The relationship between a company and a bank or

Status credit
card company that allows the company to accept
credit card payments from its customers

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119 Micro Micro-enterprise is generally defined as a small
enterprise business employing nine people or fewer, and having
a balance sheet or turnover less than a certain
amount (e.g. €2 million). The terms microenterprise
and microbusiness have the same meaning, though
traditionally when referring to a small business
financed by microcredit the term microenterprise is
often used.
120 Microeconomic The branch of economics concerned with individual
s decision unit - firms and households - and the way in
which their decisions interact to determine relative
prices of goods and factors of production and how
much of these will be bought and sold. The market is
the central concept in microeconomics.

121 Mission An entrepreneurial mission is a clear expression of an

organization’s reason for being that defines its
primary long- term goal and often includes an
abbreviated plan of action for how to reach that goal.
A mission statement is written by answering these
questions: Who are we? What do we make or do? Why
do we exist as an enterprise?
122 Net worth The total value of a business in financial terms. Net
worth is calculated by subtracting total liabilities from
total assets.
123 Network A business model in which a distributor network is
marketi needed to build the business. Usually such businesses
ng are also multilevel marketing in nature in that pay-
outs occur at more than one level.

124 Networking Developing business contacts to form business

relationships, increase knowledge, expand business
base, or serve the community.

125 Nodal Agency Nodal agency is a direct concern office which is

deputed either for consultation,
execution/implementation or supervision or combined
of all above for a particular scheme or project initiated
by the government. It can be defined for
state as well as central.

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126 Non-profit A business organization that serves some public
corporation purpose and therefore enjoys special treatment under
the law. Non-profit corporations, contrary to their
name, can make a profit but can't be designed
primarily for profit-making.

127 Objectives/ An organization needs to establish concrete goals for

Goals its products and services to remain viable. Goals
should be stated in precise terms that are appropriate
for the marketplace.

128 Owner's Salary The wages a business owner pays himself for work
done for the business

129 Partnership Two or more individuals who operate a continuing

business for profit. A partnership is legally regarded
as a group of individuals rather than as a single entity,
and each of the partners file their share of the profits
on their individual tax returns.

130 Patent A patent is a type of intellectual property that gives its

owner the legal right to exclude others from making,
using, or selling an invention for a limited period of
time in exchange for publishing an enabling
disclosure of the invention.
131 Pivot A pivot means fundamentally changing the direction
of a business when you realize the current products or
services aren't meeting the needs of the market. The
main goal of a pivot is to help a company improve
revenue or survive in the market, but the way an
entrepreneur pivot the business can make all the
difference.
132 Planning Planning is the process of thinking regarding the
activities required to achieve a desired goal. Planning
is based on foresight, the fundamental capacity for
mental time travel.
133 Point of A computerized network operated by a main computer
Sale (POS) and linked to several checkout terminals
System
134 Pradhan Micro Units Development and Refinance Agency Ltd.
Mantri [MUDRA] is an NBFC supporting development of micro
Mudra enterprise sector in the country. MUDRA provides
Yojana refinance support to Banks / MFIs for lending to micro
units having loan requirement upto 10 lakh. MUDRA
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provides refinance to micro business under the
Scheme of Pradhan Mantri MUDRA Yojana. The
other
products are for development support to the sector.
The

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 bouquet of offerings of MUDRA is depicted below. The
offerings are being targeted across the spectrum of
beneficiary segments.

135 Pre-incubation It typically represents the process which works with

entrepreneurs who are in the very early stages of
setting up their company. Usually, entrepreneurs
come into such programs with just and idea of early
prototype of their product or service. Such companies
can the graduate into full- fledged incubation
programs.
136 Product Anything capable of satisfying needs, including
tangible items, services and ideas.

137 Productivity The output of goods and services in the economy or in

an industry from the effective use of various inputs
(such as skilled workers, capital equipment,
managerial know-how, technological innovation, and
entrepreneurial activity) used to produce those goods
and services.
138 Profit Financial gain, returns over expenditures

139 Profit margin The difference between your selling price and all of
your costs.

140 Promoting PRISM (Promoting Innovations in Individuals, Start-ups

Innovations in and MSMEs) scheme aims at to support individual
Individuals, innovators which will enable to achieve the agenda of
Start- ups and inclusive development - one of the thrust areas of XIIth
MSMEs five year plan (2012-2017). It would also provide
(PRISM) support to institutions or organizations set up as
Autonomous Organization under a specific statute or
as a society registered under the Societies
Registration Act, 1860 or Indian Trusts Act, 1882
leading to development of state- of-art new
technology solutions aimed at helping MSME clusters.
141 Prototype A prototype is an early sample, model, or release of a
product built to test a
concept or process.

142 Prototype Prototype development is a key process to develop

developm and create a successful product. It is a challenging
ent task to create profitable and economically viable
manufacturing solutions in
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a competitive global market environment.

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143 Public Public Relation is the practice of managing and
Relations disseminating information from an individual or an
(PR) organization to the public in order to affect their
public perception.
144 Registrations A start-up is registered with an objective to solve a
problem. For a start-up to be registered with the
Start-up India initiative, it must be working towards
innovating something new or improving the existing
technology to solve a problem.
145 Request for Formal way of asking a company to make a bid for a
proposal (RFP) sale; includes details about what the prospect values.

146 Revenue The total income a business firm or government

receives from all the sources

147 Risk The likelihood of undesirable, unforeseen, or

uncontrollable events occurring

148 Rural areas A rural area or countryside is a geographic area that is

located outside towns and cities. Typical rural areas
have a low population density and small settlements.
Agricultural areas and areas with forestry typically are
described as rural.
149 Rural The term “rural employment” covers any activity,
employme occupation, work, business or service performed in
nt rural areas for remuneration, profit, social or family
gain, in cash or in kind. It applies to waged and
salaried workers as well as self- employed workers
(including contributing family workers).

150 Rural poverty Rural poverty refers to poverty in rural areas, including
factors of rural society, rural economy, and political
systems that give rise to the poverty found there.

151 Scalability Scalability is the ability of a company, project, or

other undertaking to be able to adapt to larger
demand by allowing greater supply.

152 Seed fund Seed fund is a form of securities offering in which an

investor invests capital in a start-up company in
exchange for an equity stake in the company

153 Self- Self-employment is the state of working for oneself

employment rather than an employer. Tax authorities will
generally view a
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person as self-employed if the person chooses to
be

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 recognised as such or if the person is generating
income for which a tax return needs to be filed.

154 Self-financing Obtaining the funds for growth from existing

operations, for example, by reinvention cash reserves

155 Selling The process of putting your business up for sale by an

Your individual or other company
Business
156 Service A retail business that deals in activities for the
business benefit of others

157 Single The Government is the single largest buyer of a

Point variety of goods. With a view to increase the share of
Registrati purchases from the small-scale sector, the
on Government Stores Purchase Programme was
Scheme launched in 1955-56. NSIC registers Micro & small
Enterprises (MSEs) under Single Point Registration
scheme (SPRS) for participation in Government
Purchases.
158 Small business Small businesses are corporations, partnerships, or
sole proprietorships which have fewer employees
and/or less annual revenue than a regular-sized
business or corporation. Businesses are defined as
"small" in terms of being able to apply for government
support and qualify for preferential tax policy varies
depending on the country and industry.
159 Small University-based centres for the delivery of joint
Business government, academic and private sector services for
Developme the benefit of small business.
nt Centres
160 Sole A sole proprietorship, also known as a sole tradership,
Proprietors individual entrepreneurship or proprietorship is a type
hip of enterprise owned and run by one person and in
which there is no legal distinction between the owner
and the business entity. A sole trader does not
necessarily work alone and may employ other people.

161 Special Special Purpose Vehicle (SPV) is a separate legal entity

Purpose mostly created for a single, well-defined and specific
Vehicle lawful purpose. It acts as the bankruptcy remote for
the main parent company. In case of the company’s
bankruptcy, the SPV can carry its obligations as the
operations are restricted to the
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buying and financing of specific assets and projects.

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162 Stand Up Stand Up India Scheme facilitate bank loans between
India 10 lakh and 1 crore to atleast one scheduled caste
Scheme (SC) or Scehduled Tribe, borrower and atleast one
women per bank branch for setting up a greenfield
enterprise. This enterprise may be in manufacturing,
services or the trading sector. In case of non-
individual enterprises at least 51% of the shareholding
and controlling stake should be held by either an
SC/ST or Woman entrepreneur.
163 Start-up Start-up means an entity, incorporated or registered
in India not prior to five years, with annual turnover
not exceeding INR 25 crores in any preceding financial
year, working towards innovation, development,
deployment or commercialization of new products,
processes or services driven by technology or
intellectual property. Provided that such entity is not
formed by splitting up, or reconstruction, of a
business already in existence. Provided also that an
entity shall cease to be a Start-up if its turnover for
the previous financial years has exceeded INR 25
crore or it has completed 5 years from the date of
incorporation/ registration. Provided further that a
Start-up shall be eligible for tax benefits only after it
has obtained certification from the Inter-Ministerial
Board, setup for such purpose.
164 Start-up Another term for seed money or start-up investment
capital

165 Start-up One-time sum required to start a business and cover

investme start-up costs. Also called seed money or start-up
nt capital.
166 State Channelizing Agency means the State level Minorities
Channelizing Finance and Development Corporations or any other
Agencies State Corporation nominated by the respective State
(SCAs) Governments/Union Territory Administrations for
routing the funds/benefits/assistance of the Company
to one or more members of Minorities.

167 Strategic A strategic alliance is an agreement between two or

Alliance more parties to pursue a set of agreed upon
objectives needed while remaining independent
organizations. The alliance is cooperation or
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collaboration which aims for a synergy where each
partner hopes that the benefits from the alliance will
be
greater than those from individual efforts. The alliance
often

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 involves technology transfer (access to knowledge
and expertise), economic specialization, shared
expenses and shared risk.

168 Strategic plan Lays out a broad course of action to achieve a long-
term goal, typically three to five years in the future

169 Subsidy A subsidy is a direct or indirect payment to individuals

or firms, usually in the form of a cash payment from
the government or a targeted tax cut. It is a financial
aid from the government to support an industry or
public service.
170 Succession The process of planning for the day a business owner
Plan decides to step down from their leadership role

171 Support for SIP-EIT is a scheme to provide financial support to

International MSMEs and Technology Start-up units for international
Patent patent filing to encourage innovation and recognize
Protection in the value and capabilities of global IP along with
Electronics capturing growth opportunities in ICTE sector.
and &
Information
Technology
(SIP- EIT)
172 Survival The term survival is used to describe a venture that
struggles to stay in business on a continuous basis.

173 Survival The total food and cash income required to cover the
threshold food and non-food items necessary for survival in the
short term. It includes (i) 100% of minimum food
energy needs; (ii) the costs associated with food
preparation and consumption; and
(iii) where applicable, the cost of water for human
consumption.
174 Sustainability Sustainability is often thought of as a long-term goal
(i.e. a more sustainable world), while sustainable
development refers to the many processes and
pathways to achieve it.
175 Sustainable Meeting the planet's current needs while preserving
resources for future generations.

176 Sustainabl Economic development that does not harm society or

e the environment. It ensures that human and natural
economic resources are maintained for future generations.
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 developm
ent
177 Sustainable SIDBI has introduced a new scheme called the
Finance Sustainable Finance Scheme for funding
Scheme sustainable development

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 projects that contribute energy efficiency and cleaner
production but not covered under the international or
bilateral lines of credit. All sustainable development
projects such as renewable energy projects, Bureau of
Energy Efficiency (BEE) star rating, green
microfinance, green buildings and eco-friendly
labelling, etc. are applicable for the scope of this
scheme.
178 Sustaina Sustainable livelihoods refer to people's capacity to
ble generate and maintain their means of living, and
livelihoo enhance their own well-being as well as that of future
d generations. Households have sustainable livelihoods
when they can cope with and recover from shocks and
economic stress, and can maintain their capabilities
and assets without undermining their natural
environment.
179 Target Market A specific group of consumers at which a company
aims its products and services. They are the group of
potential clients sharing certain characteristics,
tending to behave in similar ways and likely to be
attracted to a specific combination of products and
services.
180 Term Loan Term loan is a short to long term loan given by banks
to business. Businesses utilise this amount to meet its
working capital requirements, asset purchase,
expansion, etc. The period and interest of term loan
depend on the type of loan product selected by the
business. Term loans are also known as instalments
loans.
181 The Venture Venture Capital Assistance is financial support in the
Capital form of an interest free loan provided by SFAC to
Assistance qualifying projects to meet shortfall in the capital
Scheme requirement for implementation of the project.

182 Trade An organization that represents the interests of the

Association member firms of an industry

183 Trademark Grants a business the exclusive right to use the mark,
words, symbols, or title in commerce.

184 Trademark Any symbol, word or combination thereof used to

represent
or identify a product. A service mark means the same
thing, but identifies a service.
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185 Traditional Traditional occupations have been described as
occupation occupations practised by successive generations,
rooted in customs and practices and focused on
subsistence economies, pre-dating colonisation and
the industrial revolution
186 Turnover Business turnover is the complete sum of sales made
over a given period.

187 Unicorn The term unicorn refers to a privately held start-up

company with a value of over $1 billion. It is
commonly used in the venture capital industry. The
term was first popularized by venture capitalist Aileen
Lee.
188 Unsecured Short-term source of borrowed capital for which the
loan borrower does not pledge any assets as collateral

189 Urban areas An urban area is the region surrounding a city. Most
inhabitants of urban areas have non-agricultural jobs.
Urban areas are very developed, meaning there is a
density of human structures such as houses,
commercial buildings, roads, bridges, and railways.
"Urban area" can refer to towns, cities, and suburbs.

190 Urban It 0provided employment to the unemployed and

employme underemployed urban poor through self-employment
nt and wage employment.

191 Valuation Valuation is the process of determining the economic

value of a business, giving owners an objective
estimate of the value of their company. Typically, a
business valuation happens when an owner is looking
to sell all or a part of their business, or merges with
another company.
192 Valuation Start-up valuation is the process of quantifying the
worth of a company, i.e. its valuation. During the seed
funding round, an investor pours in funds in a start-up
in exchange for a part of the equity in the company.
This is why valuation is important for entrepreneurs as
it helps in determining the equity which they have to
give to a seed investor in exchange of funds.

193 Value analysis Process for assessing the performance of a good or

service relative to its cost

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194 Venture Capital It is the most well-known form of start-up funding.
Venture Capitalists (VCs) typically reserve additional
capital for follow-up investment rounds. Another huge
value that VCs provide is access to their networks for
employees or clients for products or services of the
start-up.
195 Venture It is the most well-known form of start-up funding.
Capitalist Venture Capitalists (VCs) typically reserve additional
capital for follow-up investment rounds. Another huge
value that VCs provide is access to their networks for
employees or clients for products or services of the
start-up.
196 Vision A vision statement outlines the venture’s broader
purpose of what the entrepreneur sees the venture
growing into in the future. Before creating a focused
mission statement and goals, one must develop a
vision statement that allows you look into the future to
answer this question: “What might we become
someday if our organization were the best possible
version of itself?”
197 Vulnerability The conditions determined by physical, social,
economic, environmental and political factors or
processes, which increase risk and susceptibility of
people to the impact of hazards.

198 Women- IT is an inclusive approach of integrating women into

centric its development programmes with focus on quality of
developmen life, reduction in hardship and capacity building.
t
199 Women Women entrepreneurs are those women who
Entreprene organize and manage an enterprise, especially a
ur business.
200 Working The excess of currents assets over current liabilities.
Capital The cash need to keep the business running from day
to day.

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