| A | B |
|---|
| contingent worker | a person who has no explicit or implicit contract for long-term employment. |
| intermediary | Businesses involved in selling the goods and services of producers to consumers and other businesses. |
| service business | carries out activities that are consumed by its customers. |
| proprietorship | business owned and run by just one person |
| partnership | a business owned and controlled by two or more people who have entered into an agreement. |
| corporation | A separate legal entity formed by documents filed with a state, owned by shareholders and managed by a board of directors. |
| Partnership agreement | A written agreement among all owners that tells the rules and procedures the guide ownership and operations. |
| Articles of incorporation | A written legal document that defines ownership and operating procedures and conditions for the business. |
| Limited liability partnership | A partnership that identifies some of the investors who cannot lose more than the amount of their investment, and they are not allowed to participate in day-to-day management. |
| Joint venture | A partnership that is organized by 2 or more other businesses to operate for a limited time and for a specific project. |
| S Corporation | A corporation for small businesses that offers limited iiability of a corporation. All income is passed through to owners based on their investment and is taxed on their individual tax return. |
| Limited Liability Company (LLC) | A corporation for small businesses that provides liability protection for owners. It has simple organizing and operating requirements than a corporation. Owners only need a simple document to set it up. |
| Nonprofit Corporation | A group of people who join together to do some activity that benefits the public, in areas of education, health care, housing, charity, and the arts. Owners don't pay corporate income taxes. |
| Franchise | A written contract granting permission to operate a business to sell products and services in a set way. The company that owns the product or service grants rights to another business owner to run a like business. |
| Mission statement | A short, specific written statement of the reason a business exists and what it wants to achieve. |
| goal | A precise statement of results the business expects to achieve. |
| policies | Guidelines used in making consistent decisions. |
| procedures | Descriptions of the way work is to be done. |
| Responsibility | The obligation to complete specific work. |
| Authority | The right to make decisions about how responsibilities should be accomplished. |
| Accountability | Taking responsibility for the results achieved. Being recognized and rewarded if you are successful. Being held accountable if work is not completed well. |
| Unity of Command | There is a clear reporting relationship for all staff of a business. |
| Span of Control | The number of employees who are assigned to a particular work task and manager. |
| Organization Chart | A diagram that shows the structure of a business, classifications of work and jobs, and the relationship among those classifications. |
| Functional Organization Chart/Structure | Work is arranged within main business functions such as production, operations, marketing, and human resources. |
| Matrix Organization Chart/Structure | Work is arranged around specific projects, products, or customer groups. People from different departments work together on a project or product. |
