Startup Glossary

Regulatory Compliance refers to the process of ensuring that a company adheres to relevant laws, regulations, guidelines, and specifications relevant to its business operations.

Regulatory Risk is the potential for laws, regulations, or government policies to change and negatively affect a startup`s operations, profitability, or business model.

A Regulatory Sandbox is a framework set up by regulators that allows startups to test innovative products, services, or business models in a controlled environment with regulatory relaxations.

The Reinvestment Rate is the percentage of earnings or profits that a company chooses to reinvest in its operations instead of distributing as dividends, indicating growth priorities.

Related-Party Transactions are business deals or arrangements between two parties who are joined by a special relationship, such as family ties or shared corporate control.

Reputation Capital is the value of a company`s brand name and the trust it has built with its customers, investors, and the public, which can influence its success.

Research and Development (R&D) involves activities that companies undertake to innovate and introduce new products or services.

The Reserve Price is the minimum price a seller is willing to accept for an asset in an auction, ensuring the asset is not sold below a certain value.

Residual Value is the estimated value of an asset at the end of its useful life, important in calculating depreciation and lease payments.

Resilience Planning involves creating strategies to help a startup withstand and recover from unforeseen setbacks, ensuring business continuity and operational integrity.

Resource Allocation refers to the strategic deployment of resources within a startup to achieve its objectives, including financial, human, and material resources.

Resource Efficiency measures how effectively a startup uses its resources, including time, money, and materials, to achieve its objectives and maximize output.

Resource Mobilization is the process of securing and deploying financial, human, and material resources necessary for a startup to achieve its strategic objectives.

A Resource-Based View (RBV) is a management tool used to determine the strategic resources available to a company, aiming to gain a competitive advantage.

Restricted Stock refers to shares granted to company insiders with limits on their sale or transfer, subject to vesting conditions.

Retained Earnings are the portion of a company`s profits not distributed as dividends but reinvested in the business or held as reserves.

The Retention Rate measures the percentage of customers or users who continue to use a service over a specific period, indicating customer satisfaction and loyalty.

A Retention Strategy is a company`s approach to keep its customers or employees engaged and satisfied over time, aiming to reduce churn and build long-term relationships.

Retroactive Financing refers to funding provided for expenses already incurred, often as a way to cover past operational costs or complete projects already underway.

Return on Assets (ROA) measures how effectively a company uses its assets to generate profit, calculated as net income divided by total assets.