Marketing Vocabulary Chapter 33

entrepreneurs

people who create, launch, organize, and manage a new business and take the risk of business ownership.

stockholders

the owners of a company with limited liability.

limited liability

the personal assets of the owners cannot be taken if the company does not meet its financial obligations.

entrepreneurship

the process of starting and operating your own business.

partnership

A legal agreement between two or more people to be jointly responsible for the success or failure of a business.

limited liability company

A relatively new form of business organization that is a hybrid of a partnership and corporation.

sole proprietorship

a business owned and operated by one person.

unlimited liability

a business owner's liability is not limited to investments in the business, but extends ton his or her total ability to make payments.

foreign corporation

a company that is incorporated under the laws of a state that differs from the one in which it does business.

Articles of Incorporation

a document filed with a state department of commerce that identifies the name and address of a new corporation, its purpose, the names of the initial directors, and the amount of stock that will be issued to each director.

limited partnership

a form of business organization in which each limited partner is liable for any debts only up to the amount of his or her investment in the company. The business's general partner is liable for all debts.

franchise

a legal agreement to sell a parent company's product or services in a designed geographic area.

corporation

a legal entity created by either a state or a federal statute authorizing individuals to operate an enterprise.

general partnership

a way to organize a business in which each partner shares in the profits and losses.

Doing Business As (DBA)

the registration by which a country government officially recognizes that a new proprietorship or partnership exists.