Definition
Business ratio is the mathematical comparison of financial figures to assess company performance. Founders reach for it when a vague conversation needs a shared, specific meaning. Name it clearly, then let the next decision — a hire, a price, a test, or a pass — follow from that meaning.
In the room
How the word shows up in a real conversation.
A mentor asks, “What is your Business ratio?” The useful answer is concrete: mathematical comparison of financial figures to assess company performance. A slide title is not an answer.
Common mistake
Using Business ratio as a label instead of a fact. If you cannot point to the evidence — a number, a customer, or a written assumption — you are using the word as jargon.
See also
Business accelerator
Program that provides startups with mentorship, resources, and funding opportunities.
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Business angel
Wealthy individual who invests personal money in early-stage startups.
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Business case
Justification for a proposed project based on its expected benefits and costs.
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Business combination
Accounting term for the merger or acquisition of two or more companies.
Read definition →
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