Business Finance Terms, Explained Simply.

Learn more about common financial terms here.
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What is a Letter of Intent (LOI)?

A letter of intent is a non-binding document that outlines the key terms a buyer proposes for acquiring a business,....

What is a Liquidity Event?

A liquidity event is any transaction that converts illiquid ownership in a private business into cash or marketable assets, a....

What is Legacy Planning?

Legacy planning is the process of defining what a business, its wealth, and its impact will represent after the owner....

What is Leadership Succession?

Leadership succession is the planned development and appointment of the individuals who will run the business after the current owner....

What is Liquidity Planning?

Liquidity planning is the forward-looking management of a business’s ability to meet financial obligations as they fall due, ensuring that....

What is Loan-to-Value (LTV)?

Loan-to-value is the ratio of a loan amount to the appraised value of the asset securing it, a primary measure....

What is the Lifetime Capital Gains Exemption (LCGE)?

The LCGE is a federal exemption that allows eligible Canadian business owners to shelter a significant portion of capital gains....