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Glossary of terms used on this site

There are 73 entries in this glossary.
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Term Definition
Retained earnings

Refers to the portion of net income from a period which is retained by a business, rather than distributed to its owners.

Risk management

Businesses face a variety of risks including strategic (eg competitor entering market), compliance (eg legislative, regulations), financial (eg debtors, interest rate rises), operational (eg. equipment failure). Risk though is a personal consideration as some people are prepared to risk more than others.

Aliases: Managing Risk
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Bruce says

We were looking for a method to ensure two of our senior partners could afford to retire in 4 years, and that we could afford to purchase their shares. Jim gave us much more than we expected and spent a great deal of time understanding our issues. His report is one of the most important in our business and will be often referred to in future years.