Business Finance Terms, Explained Simply.
Learn more about common financial terms here.
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A working capital adjustment is the mechanism in a transaction that ensures the buyer receives a business with a normal,....
In an asset sale, the buyer purchases specific assets and liabilities of the business; in a share sale, they purchase....
Attractiveness measures how appealing a business is to buyers based on performance and growth potential; readiness measures how prepared it....
Asset-based lending is a form of business financing where the loan is structured around the value of specific assets, receivables,....
An arm’s length transaction is a deal between unrelated parties acting independently in their own interests, the standard the CRA....
Adjusted cost base is the CRA’s measure of what was paid for a capital property, including acquisition costs and improvements,....
Active business income is the profit a corporation earns from actually running a business, and it is the income that....
Accounts receivable financing is a funding arrangement where a business borrows against or sells its outstanding invoices to access cash....
A chart of accounts is the structured classification system that organizes every transaction a business records and determines whether financial....
Cash accounting records transactions when money changes hands; accrual accounting records them when they are earned or incurred, and the....
Accounts receivable is the total customers owe for work already completed or products already delivered. Essentially, it is revenue earned....
Accounts payable is the total a business currently owes to suppliers and vendors for goods or services already received but....