U

UCC

See UNIFORM COMMERCIAL CODE.

UNAUDITED

The opposite of AUDITED; information supplied by a business that has not been the subject of an AUDIT by an independent CERTIFIED PUBLIC ACCOUNTANT; preliminary or unproven financial information.

UNDERCAPITALIZATION

Starting a new enterprise without enough money to carry through the start-up phase, a common cause of failure.

UNDISTRIBUTED PROFITS

Profits not paid to stockholders (but still belonging to them). Undistributed profits are usually reinvested into the company’s operation.

UNDISTRIBUTED EARNINGS

Profits not paid to stockholders (but still belonging to them). Undistributed profits are usually reinvested into the company’s operation.

UNDISTRIBUTED INCOME

Profits not paid to stockholders (but still belonging to them). Undistributed profits are usually reinvested into the company’s operation.

UNEARNED PREMIUM

See PREMIUM.

UNEMPLOYED

A person who desires to work but cannot work because no suitable job exists.

UNEMPLOYMENT

A situation concerning a person, wherein the person desires to work but is unable to work because no suitable job exists for that person. In a national or regional sense, the total group of such persons.

UNEMPLOYMENT FIGURE

See UNEMPLOYMENT RATE.

UNEMPLOYMENT INSURANCE

Insurance coverage for payment of moneys to individuals who fit a precise definition of being unemployed.

UNEMPLOYMENT RATE

The numerical value of unemployed persons as a percent of the TOTAL WORKFORCE.

UNEMPLOYMENT TAX

By law, the amount required to be paid to a state or federal government by a company for insurance on persons employed by the company to cover unemployment payments to the person if the person is later LAID OFF.

UNETHICAL

Lacking in moral principles; failing to conform to an accepted code of business behavior.

UNFAIR AND DECEPTIVE PRACTICES

Sales practices that are misleading and tend toward unfair, unethical or immoral business behavior. Although the sales practice may not involve deception, it may still be illegal under the regulations of the Federal Trade Commission if it is unfair to the public.

UNFAIR COMPETITION

Any advantage gained by a supplier in the marketplace through the use of UNFAIR AND DECEPTIVE PRACTICES.

UNIFORM COMMERCIAL CODE (UCC)

A body of law that attempts to codify and make consistent throughout the country all law relating to commercial transactions, such as sales contracts and chattel mortgages as well as personal property transactions, including negotiable securities and commercial paper.

UNION

The combination of two things bonded together; to join together. Also, an organized group of workers who perform similar work, as a LABOR UNION.

UNION EMPLOYEE

A worker for a company who is also a member of a LABOR UNION.

UNION SHOP

A company that permits a nonunion employee to be hired provided the employee joins the union within a stated period of time after employment.

UNION WORKER

See UNION EMPLOYEE.

UNISSUED STOCK

That portion of the AUTHORIZED SHARES of stock in a corporation that have not been sold (issued). When unissued stock is sold, as authorized by the Board of Directors, it becomes issued stock. Unissued shares of stock cannot pay dividends and cannot be voted. Unissued stock must not be confused with TREASURY STOCK. See AUTHORIZED SHARES.

UNIT VALUE

The value or price of a single product in a large quantity; the value relating to a unit of measurement, such as dollars per square foot.

UNIVERSAL PRODUCT CODE (UPC)

Identifying bars and spaces on items that determine the manufacturer and the specific product; a BAR CODE.

UNIVERSE

The total from which a sample is taken or a description of all those that could be considered applicable to the situation at hand.

UNLISTED SECURITY

A security that is not actively traded on a recognized and regulated exchange, e.g., NASDAQ. Stock held in a private corporation would be an unlisted security.

UNSECURED

See UNSECURED LOAN.

UNSECURED DEBT

See UNSECURED LOAN.

UNSECURED LOAN

A debt instrument, such as a note, that has no collateral value. The note is backed only by the trust that the debtor will repay, not by any security or collateral.

UPC

See UNIVERSAL PRODUCT CODE; a BAR CODE.

UP-FRONT COST

Those expenses incurred at the beginning of a business (START-UP COST) or in beginning a new project (PRELIMINARY COST). Sometimes referred to as sunk cost.

UPSTREAM

Counter to the direction of goods from the producer toward the consumer; counter to the normal flow of funds, i.e., from the borrower up to the lender. The opposite of DOWNSTREAM.

USEFUL LIFE

That period of time over which an asset is expected to remain economically feasible to the owner; the time an asset is used; the period of time used for depreciation. Also called ECONOMIC LIFE; SERVICE LIFE.

USER

A term that describes people who use computers. Sometimes user describes a person that uses something besides a computer.

USES OF CASH

In an accounting analysis of CASH FLOW, uses of cash are those transactions that reduce the amount of money on hand, such as installment loan payments, payment of salaries, cash purchase of an asset and payment of taxes. See CASH FLOW.

USE TAX

A tax imposed on the purchaser of tangible personal property that is not for resale or consumption in the business, rather the property will be used in the production of income. Use tax is paid in lieu of sales tax for goods that are consumed.

USURY

The act of charging a rate of interest in excess of that permitted by law.

UTILITIES

The basic services needed to function in the modern world, such as water, sewer, gas, electricity and telephone. The utility company providing the service may be privately owned or may be controlled by the local government. But usually the function performed is the only one available and therefore is a monopoly. Small businesses should understand the amount of utility expenses that are required for operation of the business.

UTILITY COSTS

The cost of providing basic UTILITIES services, such as electric, gas, water, sewer and telephone. Often, these items are listed in financial documents simply as utilities.

 

All definitions were taken from www.small-business-dictionary.org.