Business Finance Terms, Explained Simply.
Learn more about common financial terms here.
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Due diligence is the formal investigation a buyer conducts into a business before completing a transaction, verifying that what was....
Drag-along rights allow a majority shareholder to compel minority shareholders to join a sale on the same terms; tag-along rights....
A deadlock clause is a provision in a shareholders agreement that provides a defined mechanism for resolving disputes between equal....
Deal structure is the combination of price, payment terms, form of consideration, and post-closing obligations that together define what the....
A data room is the secure, organized repository of documents and information made available to buyers and their advisors during....
De-risking is the deliberate reduction of the factors that make a business vulnerable, to ownership transition, revenue disruption, key person....
A demand loan is a loan that the lender can require to be repaid in full at any time, with....
The debt-to-equity ratio compares what a business owes to what it owns net of liabilities, measuring how much of the....
The debt service coverage ratio measures whether a business generates enough operating income to cover its debt payments, and it....
Debt covenants are the contractual conditions attached to a loan that the borrower must maintain throughout the lending relationship, and....
A dividend refund returns a portion of the tax a private corporation paid on investment income when it pays taxable....
Depreciable property is a business asset whose cost is written off over time through Capital Cost Allowance, because its useful....