Chapter 3 Entrepreneurship

statement of purpose

a brief explanation of why the writer of a business plan is asking for a loan and an explanation of what he or she plans to do with the money

pro forma fina

a financial statement based on projected revenues and expenses

exit strategy

a harvest strategy, or the way an entrepreneur intends to extract, or harvest, his or her money from a business after it is operating successfully

cover letter

a letter that introduces and explains an accompanying document or set of documents

SCORE

a nonprofit association made up of working and retired business professionals who volunteer their time to provide small businesses and entrepreneurs with free, real-world advice and know-how

executive statement

a short restatement of the report portion of a business plan

business plan

a written document that describes all the steps necessary for opening and operating a successful business

Small Business Administration (SBA)

an independent agency of the federal government that was created to provide support to entrepreneurs and small businesses

trade organizations

organizations made up of professionals in a specific industry

Small Business Development Centers (SBDCs)

centers that provide technical assistance to small businesses and aspiring entrepreneurs