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EDUCATION CENTER

Investment Glossary

Backer

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A person who financially supports a crowdfunding project.

Bad Actor

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An individual or entity banned from fundraising due to fraud or violations.

Balance Sheet

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A financial statement that shows a company’s assets, liabilities, and equity at a specific time.

Benchmark

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A standard or point of reference for evaluating performance.

Beta Testing

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A trial phase where users test a product before full release.

Bonds

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Fixed-income securities that represent a loan made by an investor to a borrower.

Bootstrapping

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Funding a business using personal savings or revenue rather than external investment.

Branding

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The process of creating a unique identity and image for a company or product.

Bridge Loan

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A short-term loan used to provide temporary financing until permanent funding is secured.

Bridge Round

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A funding round intended to sustain a company until the next major investment.

Budget

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A financial plan that outlines expected income and expenses over a period.

Burn Rate

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The rate at which a company spends its capital before generating positive cash flow.

Business Plan

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A document outlining a company’s goals, strategy, and financial projections.

Buyout

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The purchase of a company’s shares to gain control or ownership.

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