Created by: kirb
Number of Blossarys: 2
Earnings before interest and taxes (EBIT) divided by interest expense. This is a key ratio used by lenders to assess the ability of a company to produce sufficient cash to pay its debt obligation.
The interest rate at which a certain amount of capital today would have to be invested in order to grow to a specific value at a specific time in the future.
The fundamental ideas which determine the types of investments that an investment fund will choose in order to achieve its financial goals.
A loan that has a lower priority than a senior loan in case of a liquidation of the asset or borrowing company. Also known as "subordinated debt".
Life insurance on the life of a key executive that is payable to the company. Companies buy key man life insurance in order to minimize the possible disruption that would be caused to a business on ...
The state of a company that has proven its concept, achieved significant revenues compared to its competition, and is approaching cash flow break even or positive net income. Typically, a later stage ...
The venture capital investor that makes the largest investment in a financing round and manages the documentation and closing of that round. The lead investor sets the price per share of the ...