Entrepreneurship Cheat Sheet 2026

The 30 highest-yield Entrepreneurship facts, distilled from real exam questions. Print it, save it as a PDF, or study it here — free, no sign-up.

1. What is a referral program? → A marketing strategy that incentivizes existing customers to refer new customers
2. What is outsourcing? → Contracting specific business functions or processes to external third-party providers
3. What is the primary purpose of Standard Operating Procedures (SOPs)? → To ensure consistency and quality by documenting how routine tasks should be performed
4. What is a Key Performance Indicator (KPI)? → A measurable value that demonstrates how effectively a company is achieving its objectives
5. What is a SAFE (Simple Agreement for Future Equity)? → An investment contract that gives investors the right to future equity without debt terms
6. What is the purpose of an operating budget? → To plan and control expected revenues and expenses for day-to-day business operations
7. A approach to communicate information about your company is through an elevator pitch. How much time should pass? → 30 seconds
8. What are network effects? → The phenomenon where a product or service becomes more valuable as more people use it
9. What is search engine optimization (SEO)? → Optimizing a website to rank higher in organic search engine results
10. What is a business dashboard used for? → A visual tool that displays key business metrics and KPIs in real time
11. What does delegation mean in a management context? → Assigning responsibility and authority for a specific task to another person or team
12. What does 'churn rate' measure? → The percentage of customers who stop doing business with a company in a given period
13. What is a vendor in the context of business operations? → A company or individual that supplies goods or services to a business
14. Which of the following is true regarding the distinctions between the entrepreneurial and administrative focuses? → Entrepreneurs rent or sporadically use resources; managers like to own resources
15. What kind of entrepreneurial enterprise offers goods directly to the consumers or users of them? → Retailing
16. What kind of entrepreneurial enterprise sells services rather than goods? → Service
17. Which section of a business plan describes your target customers and competition? → Market Analysis
18. What is the primary role of a Chief Operating Officer (COO)? → Overseeing the day-to-day administrative and operational functions of the company
19. What is a 'go-to-market strategy'? → A plan for entering a new geographic market with a product or service
20. What do 'economies of scale' refer to? → The cost advantages a business achieves as its production volume increases
21. What is meant by 'scalability' in a business model? → The capacity to grow revenue without proportional cost increases
22. What is accounts receivable? → Money owed to a business by its customers for goods or services already delivered
23. What is an S corporation? → A pass-through tax entity that avoids double taxation while providing liability protection
24. What is the primary purpose of a business plan? → To outline goals and strategies for a business
25. What is an angel investor? → A wealthy individual who provides capital to startups in early stages
26. What is the 'customer journey'? → The complete experience a customer has from first awareness through purchase and beyond
27. Which of the following groups of people are recognized for influencing an entrepreneur's career decision and personal style? → Role model
28. Which benefit of entrepreneurship is NOT one? → You will make decisions alone.
29. One of the most creative people in the past 30 years is Reid Hoffman. He established the → LinkedIn
30. One of the most creative people in the past 30 years is Reid Hoffman. He established the → Self-funding a business or project