Transaction Definitions

Acquisition – One company taking over control of another company.

Expansions – Company looking to grow their business operation beyond their present level.

Mergers – Combining of two or more businesses to form a single organization.

Venture Capital – A business looking for an investment partner who will provide capital to assist their business growth over the next five years.

Refinancing – To reorganize existing debt by obtaining new financing that pays off their existing debt.

Leasing Definitions

Direct Financing Lease – An agreement that the owner of the equipment gives another party the right to use the equipment under the set terms and conditions of the lease.

Off Balance Sheet Lease – Any form of financing, such as operating lease, that for financial reporting purposes, is not required to be reported on a client’s balance sheet.

Sale Leaseback – A transaction that involves the sale of equipment to a leasing company and subsequent lease of the same equipment back to the original owner, who continues to use the equipment.

Start Up Business Lease – There are special programs that allow clients with start-up businesses to lease equipment with a few extra required documents.

Lease Line – A lease line of credit. A lessee can add equipment without having to renegotiate a new lease each time.

Preapproval leases – A program that allows you to get approval for a certain amount before you start looking which eliminates lost time during the purchasing process.