budget
Definition
Estimate of costs, revenues, and resources over a specified period, reflecting a management's reading of future financial conditions. One of the most important administrative tools, a budget serves also as a (1) plan of action for achieving quantified objectives, (2) standard for measuring performance, and (3) device for coping with foreseeable adverse situations.
Featured Tip
Because entrepreneurs typically operate on a shoestring budget, they must learn to benefit from resources that they don't directly control. This is done primarily by outsourcing any needs which are temporary or fluctuating, which are likely to become obsolete, or which require specialized skills that aren't the core focus of the business.
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