ENTR 5500 TEST STUDY GUIDE
A/B Testing - ANSWER Also known as split testing, the goal of A/B testing is to compare
two versions of a website, product, feature, ect; the goal of which is to evaluate which
version performs more effectively.
Accelerator - ANSWER Startups are admitted to an Accelerator in cohorts and generally
given a deadline to complete intensive training and iteration (1 week to 6 months).
Startups end an accelerator program with a demo day in which they pitch to investors.
Well known accelerators include Y-Combinator and tech stars. A seed investment may
be made in return of equity.
Acquisition - ANSWER A process under which a company acquires the controlling
interest of another company. IN other words, taking majority ownership of another
business.
Advisor - ANSWER An individual providing business connections, guidance, advice, and
support as they grow their startup.
Advisory Board - ANSWER A group of external advisors to a company. Less formal than
a board of directors.
Angel Investors - ANSWER Independently wealthy individuals who back emerging
entrepreneurial ventures, usually as seed capital or as a bridge to get from the
self-funded stage the level of business that would both need and attract venture capital.
Funding level is broad, but generally ranges between $50,000 to $2M. Angels=Personal
money, Venture capitalist=someone else's money
Angel Fund - ANSWER An organization composed of accredited investors which serves
as a platform for them to coordinate investments in seed and early stage startup
companies. The group members typically work together consolidating their resources,
expertise, and capital through informal networks or formal funds.
Angel Round - ANSWER A round of investment into a startup company from angel
investors not previously affiliated with the founder. Typically the first money invested in
a company after the founder's own money and after the founder's friends and family.
Anti-dilution provisions - ANSWER Anti-dilution provisions are contractual measures
that allow investors to keep a constant share of a firm's equity in light of subsequent
equity issues. These may give investors preemptive rights to purchase new stock at the
offering price.
Articles of Incorporation - ANSWER Document filed with the secretary of state or
company registrar which acts as a charter to document the establishment and
existence of a corporation. The articles typically include the business name, address, a
, statement of business purpose, and details related to the types of stock the corporation
is entitled to issue.
Articles of Organization - ANSWER Documentation filed with the Secretary of State
which acts as a charter to document the establishment and existence of a limited
liability company.
Assets - ANSWER All financial resources that a corporation owns are known as its
assets. Assets include material goods, equipment, intellectual property, investments,
cash.
Balance Sheet - ANSWER A condensed financial statement showing the nature and
amount of a company's assets, liabilities, and capital on a given date.
B2B - ANSWER Business to Business
B2C - ANSWER Business to Consumer
Board of Directors - ANSWER A group of people elected by the company's stakeholders
that make decisions on major company issues, including firing and hiring of the CEO. A
corporation is legally required to have a board of directors.
Bridge Round - ANSWER A round that comes between your seed round and your
full-blown Series A round. This can be used to extend your financial runway as you fully
prepare for your Series A.
Bootstrapping - ANSWER Funding a company only by reinvesting initial profits; from
"pulling yourself up by your own bootstraps"
Burn Rate - ANSWER The rate at which a company expends net cash over a certain
period, usually a month.
Business Plan - ANSWER A document that entrepreneurs use in detailing their business
concepts well as their company's overall strategy and financial objectives. In recent
years, the Business Model canvas has become increasingly popular with both
entrepreneurs and managers as a guide or framework for the startup's efforts, and in
many cases is now utilized in lieu of the business plan by these parties.
Business Model - ANSWER A set of assumptions and hypotheses for the successful
operation of a business. At its heart, how you plan to make money. Includes all the
activities associated with selling something
Business Model canvas - ANSWER Based on nine building blocks, the business model
canvas is an entrepreneurial tool that enables entrepreneurs to test hypotheses as they
design, develop, articulate, challenge, invent, and pivot their strategic business model.
Customer Segments, Value proposition, channels, customer relations, revenue streams,
key resources, key activities, key partnerships, and cost structure.
Bylaws - ANSWER Written governing agreements established for the purpose of
A/B Testing - ANSWER Also known as split testing, the goal of A/B testing is to compare
two versions of a website, product, feature, ect; the goal of which is to evaluate which
version performs more effectively.
Accelerator - ANSWER Startups are admitted to an Accelerator in cohorts and generally
given a deadline to complete intensive training and iteration (1 week to 6 months).
Startups end an accelerator program with a demo day in which they pitch to investors.
Well known accelerators include Y-Combinator and tech stars. A seed investment may
be made in return of equity.
Acquisition - ANSWER A process under which a company acquires the controlling
interest of another company. IN other words, taking majority ownership of another
business.
Advisor - ANSWER An individual providing business connections, guidance, advice, and
support as they grow their startup.
Advisory Board - ANSWER A group of external advisors to a company. Less formal than
a board of directors.
Angel Investors - ANSWER Independently wealthy individuals who back emerging
entrepreneurial ventures, usually as seed capital or as a bridge to get from the
self-funded stage the level of business that would both need and attract venture capital.
Funding level is broad, but generally ranges between $50,000 to $2M. Angels=Personal
money, Venture capitalist=someone else's money
Angel Fund - ANSWER An organization composed of accredited investors which serves
as a platform for them to coordinate investments in seed and early stage startup
companies. The group members typically work together consolidating their resources,
expertise, and capital through informal networks or formal funds.
Angel Round - ANSWER A round of investment into a startup company from angel
investors not previously affiliated with the founder. Typically the first money invested in
a company after the founder's own money and after the founder's friends and family.
Anti-dilution provisions - ANSWER Anti-dilution provisions are contractual measures
that allow investors to keep a constant share of a firm's equity in light of subsequent
equity issues. These may give investors preemptive rights to purchase new stock at the
offering price.
Articles of Incorporation - ANSWER Document filed with the secretary of state or
company registrar which acts as a charter to document the establishment and
existence of a corporation. The articles typically include the business name, address, a
, statement of business purpose, and details related to the types of stock the corporation
is entitled to issue.
Articles of Organization - ANSWER Documentation filed with the Secretary of State
which acts as a charter to document the establishment and existence of a limited
liability company.
Assets - ANSWER All financial resources that a corporation owns are known as its
assets. Assets include material goods, equipment, intellectual property, investments,
cash.
Balance Sheet - ANSWER A condensed financial statement showing the nature and
amount of a company's assets, liabilities, and capital on a given date.
B2B - ANSWER Business to Business
B2C - ANSWER Business to Consumer
Board of Directors - ANSWER A group of people elected by the company's stakeholders
that make decisions on major company issues, including firing and hiring of the CEO. A
corporation is legally required to have a board of directors.
Bridge Round - ANSWER A round that comes between your seed round and your
full-blown Series A round. This can be used to extend your financial runway as you fully
prepare for your Series A.
Bootstrapping - ANSWER Funding a company only by reinvesting initial profits; from
"pulling yourself up by your own bootstraps"
Burn Rate - ANSWER The rate at which a company expends net cash over a certain
period, usually a month.
Business Plan - ANSWER A document that entrepreneurs use in detailing their business
concepts well as their company's overall strategy and financial objectives. In recent
years, the Business Model canvas has become increasingly popular with both
entrepreneurs and managers as a guide or framework for the startup's efforts, and in
many cases is now utilized in lieu of the business plan by these parties.
Business Model - ANSWER A set of assumptions and hypotheses for the successful
operation of a business. At its heart, how you plan to make money. Includes all the
activities associated with selling something
Business Model canvas - ANSWER Based on nine building blocks, the business model
canvas is an entrepreneurial tool that enables entrepreneurs to test hypotheses as they
design, develop, articulate, challenge, invent, and pivot their strategic business model.
Customer Segments, Value proposition, channels, customer relations, revenue streams,
key resources, key activities, key partnerships, and cost structure.
Bylaws - ANSWER Written governing agreements established for the purpose of
