Special topics glossary for Food service entrepreneurs
Active recruitment. Unlike the traditional methods of recruiting staff – such as placing advertisements – active sourcing means that companies actively identify and contact potential employees themselves. Potential sources for this form of recruiting include social media, conventions and competing companies.
A neologism referring to projects, products or business ideas that are financed through microloans provided by a variety of individuals. Special online platforms offer anyone the opportunity to present an idea and find supporters for it. Investors, depending on the extent of their contribution, receive a preset return, often in the form of discounts. If the investors receive a financial return and interest, as with a bank loan, it is also referred to as crowd investing.
Small-size loan of one to a few thousand euros. In their original form, microloans – especially in developing countries (emerging markets) – are a way to reduce poverty by encouraging the establishment of small businesses with the thought of helping people help themselves. Nowadays, microloans are also granted to entrepreneurs in industrialised countries who are looking to become self-employed as a way to emerge from unemployment, for example. In 2010, the German federal government commissioned the establishment of the Mikrokreditfonds Deutschland fund for this very purpose. A special form of granting microloans is crowdfunding.