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Business Foundationsbeginner

Business Model

Definition

The framework that describes how your business creates value, delivers it to customers, and generates revenue from that value.

Why it matters

Your business model determines everything, who you sell to, how you price, and how you grow. Choosing the wrong model means building on a broken foundation.

Example

A subscription model (SaaS) generates recurring monthly revenue. A one-time purchase model (e-commerce) requires constantly acquiring new customers. Two very different cash flow patterns.

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