entrepreneur

Examples of entrepreneur in the following topics:

• Pros and Cons of Sole Proprietorship

  • It is a structure open to businesses run and owned by one entrepreneur.
  • On the flip side, the sole proprietorship has one main disadvantage: there is no separation between the entrepreneur and the business.
  • The sole proprietorship is not a separate entity from the owner/entrepreneur, unlike a corporation.

• The Law of Comparative Advantage

  • Resources include labor, machines, equipment, land, and entrepreneurs.
  • Thus, society employs its entire labor force, and entrepreneurs use all their machines, equipment, and land to produce goods and services.
  • Consequently, an industry experiences no losses when entrepreneurs move resources from industry to another.
  • If entrepreneurs shift all the resources into car manufacturing, then the United States produces 100 cars while Mexico produces 30.
  • U.S. entrepreneurs continually shift resources from the tomato industry into the car industry until they reach the maximum car production.

• Pros and Cons of a Partnership

  • The partnership is not a separate entity from the owners/entrepreneurs, unlike a corporation.

• Venture Capital

  • Through informal and formal business networks, VC firms and entrepreneurs will meet to discuss the business plan and investment possibilities.There are different rounds of financing corresponding to different stages of a company's development:
  • Seed money round: The entrepreneur must convince the venture capitalist to fund their business vision.

• Overview of Organizational Structure

  • The differences in structures can depend on the number of entrepreneurs or owners involved, and the different tax treatments.
  • These organizational structures are also not separate entities from the owners/entrepreneurs, unlike a corporation.

• Role of Financial Markets in Capital Allocation

  • Financial capital is money used by entrepreneurs and businesses to buy what they need to make their products or provide their services.

• Understanding the Needs of the Business

  • For the entrepreneur, however, who is often resource-starved and doesn't have enough operating history to secure additional credit, managing this tradeoff can feel like walking a tightrope.

• Risk Adjusting the Discount Rate

  • As an entrepreneur, this will tell you if/when you will reach profitability (using a variety of assumptions).