[{"data":1,"prerenderedAt":323},["ShallowReactive",2],{"template:business-terms:en":3},{"title":4,"description":5,"readTime":6,"slug":7,"language":8,"kind":9,"coverUrl":10,"document":11},"The Complete Guide to Common Business Terms","Finance, strategy, projects and meetings — terms with explanations and examples","12 min","business-terms","en","reference","\u002Ftemplate-media\u002Fbusiness-terms\u002Fcover.jpg",{"v":12,"kind":13,"design":14,"blocks":25},2,"longread",{"fontPairing":15,"baseTheme":16,"lineHeight":17,"blockGap":18,"showProgressBar":19,"accentColor":20,"viewPassThreshold":21,"quizPassThreshold":22,"quizShowCorrectness":19,"quizAllowRetry":19,"outlineSource":23,"tocPlacement":24,"language":8},"editorial","warm-paper","relaxed","normal",true,"",60,70,"chapters","sidebar",[26,34,41,47,53,86,110,124,131,135,140,167,182,198,205,209,230,237,261,270,286,295,300,306,311,320],{"id":27,"type":28,"title":4,"subtitle":5,"author":29,"date":20,"readTime":6,"imageUrl":10,"style":30,"overlayOpacity":31,"titleColor":32,"subtitleColor":33},"bt-cover","cover","Learning team","split",30,"#ffffff","#e2e8f0",{"id":35,"type":36,"text":37,"dropCap":19,"alignment":38,"columns":39,"fontSize":40},"bt-lead","paragraph","\u003Cp>Meetings and reports are full of terms that everyone seems to know — until someone asks what they mean. This reference explains the most common business terms in plain language, with an example for each. Bookmark it and come back whenever a term is unclear.\u003C\u002Fp>","left",1,"lg",{"id":42,"type":43,"title":44,"text":45,"variant":46},"bt-how-to","callout","How to use this guide","Terms are grouped by topic. Use the table of contents to jump to a section, flip the cards to test yourself and take the short quizzes to check your understanding.","info",{"id":48,"type":49,"title":50,"description":51,"chapterNumber":20,"level":39,"style":52},"bt-finance","chapter","Finance","Money in, money out and what is left","classic",{"id":54,"type":55,"headers":56,"rows":60,"caption":85,"hasHeaderRow":19,"hasHeaderColumn":19,"striped":19,"bordered":19},"bt-finance-table","table",[57,58,59],"Term","What it means","Example",[61,65,69,73,77,81],[62,63,64],"Revenue","All money earned from sales","A store sold goods for 100,000",[66,67,68],"Costs","Money spent to run the business","Rent, salaries and stock: 80,000",[70,71,72],"Profit","Revenue minus costs","100,000 − 80,000 = 20,000",[74,75,76],"Margin","Profit as a share of revenue","20,000 \u002F 100,000 = 20%",[78,79,80],"Cash flow","Money actually coming in and going out over a period","Customers pay in 60 days, suppliers in 30",[82,83,84],"Budget","The plan for revenue and costs","Marketing budget for Q3: 15,000","Core financial terms",{"id":87,"type":88,"columnsCount":89,"flip":90,"items":91,"frontBg":20,"frontColor":20,"backBg":20,"backColor":20},"bt-finance-cards","flashcards",3,"click",[92,95,98,101,104,107],{"frontTitle":93,"frontText":20,"frontImageUrl":20,"backTitle":20,"backText":94,"backImageUrl":20},"Forecast","An estimate of future results based on current data.",{"frontTitle":96,"frontText":20,"frontImageUrl":20,"backTitle":20,"backText":97,"backImageUrl":20},"Break-even","The point where revenue covers all costs: no profit, no loss.",{"frontTitle":99,"frontText":20,"frontImageUrl":20,"backTitle":20,"backText":100,"backImageUrl":20},"CAPEX","Spending on long-term assets, such as equipment.",{"frontTitle":102,"frontText":20,"frontImageUrl":20,"backTitle":20,"backText":103,"backImageUrl":20},"OPEX","Day-to-day operating expenses, such as salaries and rent.",{"frontTitle":105,"frontText":20,"frontImageUrl":20,"backTitle":20,"backText":106,"backImageUrl":20},"ROI","Return on investment: profit from an investment divided by its cost.",{"frontTitle":108,"frontText":20,"frontImageUrl":20,"backTitle":20,"backText":109,"backImageUrl":20},"Variance","The difference between the budget and the actual result.",{"id":111,"type":112,"question":113,"options":114,"selectionType":118,"pairs":119,"correctIndex":39,"correctIndexes":120,"explanation":121,"feedbackIncorrect":122,"variant":123},"bt-quiz-margin","quiz","Revenue is 50,000 and costs are 40,000. What is the margin?",[115,116,117],"10%","20%","25%","single",[],[],"Profit is 10,000; margin is profit divided by revenue: 10,000 \u002F 50,000 = 20%.","Margin is calculated from revenue, not from costs: 10,000 \u002F 50,000 = 20%.","interactive",{"id":125,"type":126,"text":127,"author":128,"role":129,"style":130},"bt-quote","quote","Price is what you pay. Value is what you get.","Warren Buffett","Letter to Berkshire Hathaway shareholders, 2008","pull-quote",{"id":132,"type":49,"title":133,"description":134,"chapterNumber":20,"level":39,"style":52},"bt-strategy","Strategy and goals","How companies decide where to go and measure progress",{"id":136,"type":36,"text":137,"dropCap":138,"alignment":38,"columns":39,"fontSize":139},"bt-strategy-text","\u003Cp>Strategy terms answer four questions: where do we stand, where do we want to go, how much will it cost and who will do it. Click the markers to see the key terms for each.\u003C\u002Fp>",false,"base",{"id":141,"type":142,"url":143,"caption":144,"aspectRatio":145,"markerStyle":146,"trigger":90,"markers":147},"bt-strategy-map","hotspots","\u002Ftemplate-media\u002Fbusiness-terms\u002Fmap.png","Click a marker to see the key terms","auto","number",[148,154,158,163],{"id":149,"x":150,"y":151,"title":152,"text":153},"bt-strategy-map-1",12.5,12,"Metrics","KPI — a key performance indicator, a number that shows if you are on track, such as customer satisfaction.",{"id":155,"x":156,"y":151,"title":50,"text":157},"bt-strategy-map-2",53.8,"Budget and ROI connect strategy with money: what we invest and what we expect back.",{"id":159,"x":150,"y":160,"title":161,"text":162},"bt-strategy-map-3",57,"People","Stakeholders — everyone affected by a decision, from employees to customers and investors.",{"id":164,"x":156,"y":160,"title":165,"text":166},"bt-strategy-map-4","Direction","Mission, vision and objectives — why we exist, where we are going and what we aim for this year.",{"id":168,"type":169,"items":170,"style":180,"defaultIndex":181},"bt-frameworks","tabs",[171,174,177],{"title":172,"text":173,"imageUrl":20,"videoUrl":20},"KPI","\u003Cp>A key performance indicator measures one important result regularly. Example: “Customer satisfaction score of at least 4.5 out of 5”.\u003C\u002Fp>",{"title":175,"text":176,"imageUrl":20,"videoUrl":20},"OKR","\u003Cp>Objectives and key results: an inspiring objective plus two to four measurable results. Example: “Delight new customers” — “Onboarding time under 3 days”.\u003C\u002Fp>",{"title":178,"text":179,"imageUrl":20,"videoUrl":20},"SWOT","\u003Cp>Strengths, weaknesses, opportunities and threats — a simple table to assess a position before a decision.\u003C\u002Fp>","pill",0,{"id":183,"type":184,"columnsCount":89,"items":185},"bt-pillars","grid",[186,190,194],{"title":187,"text":188,"icon":189},"Mission","Why the company exists.","BookOpen",{"title":191,"text":192,"icon":193},"Vision","What the company wants to become.","Sparkles",{"title":195,"text":196,"icon":197},"Objectives","What the company aims for in a given period.","Activity",{"id":199,"type":200,"label":201,"scope":202,"style":203,"align":204},"bt-continue","continue","Continue to projects and meetings","next-step","primary","center",{"id":206,"type":49,"title":207,"description":208,"chapterNumber":20,"level":39,"style":52},"bt-work","Projects and meetings","The everyday vocabulary of teamwork",{"id":210,"type":211,"items":212,"multiple":19,"icon":228,"style":229,"firstOpen":19},"bt-work-terms","accordion",[213,216,219,222,225],{"title":214,"text":215},"Deliverable","\u003Cp>A concrete result handed over at the end of a task or project: a report, a website, a presentation.\u003C\u002Fp>",{"title":217,"text":218},"Deadline","\u003Cp>The date by which a deliverable is due. A hard deadline cannot move; a soft one can be negotiated.\u003C\u002Fp>",{"title":220,"text":221},"Action item","\u003Cp>A task agreed at a meeting, with an owner and a due date.\u003C\u002Fp>",{"title":223,"text":224},"Stakeholder","\u003Cp>Anyone affected by a project or able to influence it.\u003C\u002Fp>",{"title":226,"text":227},"Bandwidth","\u003Cp>How much capacity a person or team has for more work.\u003C\u002Fp>","chevron","flat",{"id":231,"type":232,"url":233,"alt":234,"caption":235,"credits":20,"layout":236,"aspectRatio":145},"bt-figure","image","\u002Ftemplate-media\u002Fbusiness-terms\u002Ffigure.png","A stack of term cards with one card on top and a magnifying glass with a book icon","A glossary at hand: look up a term whenever it comes up","contained",{"id":238,"type":239,"items":240,"orientation":258,"numbering":259,"style":260},"bt-cycle","timeline",[241,244,247,251,254],{"value":242,"title":82,"text":243},"1","Plan revenue and costs for the year.",{"value":245,"title":93,"text":246},"2","Update the expected results as the year goes on.",{"value":248,"title":249,"text":250},"3","Actuals","Record what really happened.",{"value":252,"title":108,"text":253},"4","Compare actuals with the budget and explain the gaps.",{"value":255,"title":256,"text":257},"5","Report","Share the results and decisions with management.","horizontal","manual","line",{"id":262,"type":112,"question":263,"options":264,"selectionType":265,"pairs":266,"correctIndex":267,"correctIndexes":268,"explanation":269,"feedbackIncorrect":20,"variant":123},"bt-quiz-cycle","Put the steps of a typical financial cycle in order.",[82,93,249,108,256],"sequence",[],null,[],"You plan first, adjust the outlook, record reality, compare and then report.",{"id":271,"type":112,"question":272,"options":273,"selectionType":274,"pairs":275,"correctIndex":267,"correctIndexes":284,"explanation":285,"feedbackIncorrect":20,"variant":123},"bt-quiz-terms","Match each term with its definition.",[],"matching",[276,278,280,282],{"left":172,"right":277},"A number that shows whether you are on track",{"left":214,"right":279},"A concrete result handed over",{"left":78,"right":281},"Money coming in and going out over a period",{"left":223,"right":283},"Anyone affected by a decision",[],"These four terms come up in almost every planning meeting.",{"id":287,"type":112,"question":288,"options":289,"selectionType":290,"pairs":291,"correctIndex":267,"correctIndexes":292,"explanation":293,"feedbackIncorrect":294,"variant":123},"bt-quiz-finance","Which of these are financial terms?",[74,96,105,220],"multiple",[],[181,39,12],"Margin, break-even and ROI describe money; an action item is a meeting term.","An action item is a task from a meeting, not a financial measure.",{"id":296,"type":297,"style":298,"spacing":299},"bt-separator","separator","diamonds","md",{"id":301,"type":302,"url":303,"caption":304,"credits":20,"layout":236,"aspectRatio":305,"autoplay":138,"loop":19,"muted":19},"bt-video","video","\u002Ftemplate-media\u002Fbusiness-terms\u002Fclip.mp4","Flip through the terms until they stick","16:9",{"id":307,"type":308,"text":309,"level":310,"alignment":38,"withAccent":19},"bt-remember","heading","Most important to remember","h3",{"id":312,"type":313,"style":314,"items":315},"bt-remember-list","list","bullet",[316,317,318,319],"Profit is revenue minus costs; margin is profit as a share of revenue","Cash flow is about timing, not just amounts","KPIs measure progress; OKRs set direction","Every meeting should end with action items: who, what, by when",{"id":321,"type":36,"text":322,"dropCap":138,"alignment":38,"columns":39,"fontSize":139},"bt-closing","\u003Cp>Missing a term your team uses? Add it to this guide — a shared vocabulary saves everyone time.\u003C\u002Fp>",1792666368653]