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Common Economic Development Terms

As part of the GDC’s efforts to create community-driven ventures, we aim to educate community members on various aspects of business. The following key terms can help readers better understand what a business is, what it does, and who it’s for.

Assets

An asset has value for a business, and there are two types. Tangible assets are physical products, tools, equipment, or raw materials. Intangible assets are non-physical things, including a brand, reputation, skills, or experience.


Joint Venture Partnership

A joint venture partnership is an agreement between two groups who want to work together to help each other grow. Often, the two groups are complementary and combine their money, skills, labour, or equipment to reach their goals. For GDC, these types of arrangements aim to benefit the community as a whole.


Revenue

Revenue is a business's money from selling goods or services before tax and other expenses during a given period. It can also include money made from investments such as interest or dividends or increases in how much the business is worth.


Shareholders

Shareholders are the individuals or groups with an ownership stake in a business. These people can include individuals or community organizations, such as GDC. GDC’s sole shareholder is Gitga’at First Nation. In the case of a joint venture partnership, the sole shareholders are GDC and the partner company with GDC as the majority shareholder.


Resource Management

Resource management is how we take care of natural resources so they are there for our children and grandchildren in the future. Resources include timber, minerals, water, fish, plant life, and animals. The Gitga’at Oceans and Lands Department is responsible for ensuring that any resource development in Gitga’at’s traditional territory only occurs if it meets the tests of long-term sustainability and the health of the Nation’s people, fisheries, wildlife, forests, air, and water.


Gross Profits

Gross profit is the money you make minus your costs, including raw materials, labour, administrative expenses, wear and tear on your tools, and others. It is an indicator that can help you manage selling activity, how much raw material you need, inventory, and how much you need to charge.


Corporation

A corporation is a business and legal entity that is distinct from the people or communities who own it. Corporations enable an individual or group to own a business without being responsible for its debts should the business go under.


Dividend

Dividends are the money shareholders may take from a business annually once all expenses are paid. Dividends are paid out of profits that the business generates.


We hope these definitions give you a clearer picture of what a business is and who it serves - the people and territory of the Gitga’at. Going forward, we are excited to share more information and ideas with the community about how we can grow together.


Questions? Just ask.


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