LIQUIDATION PREFERENCE
A term in venture capital contracts, which pertains to the investors’ right to be paid first and the certain value they should get in the event the business is liquidated (such as selling the company). It protects venture capitalists from losing money by ensuring they reclaim their initial investments before other parties. Also, if the firm is sold at a profit, it will give them priority in claiming their part in the profits. They are repaid first before common stockholders, original owners, and employees.
POPULAR TERMS
Capital Commitment
Future capital payments that a firm has pledged to pay out on long-term assets over a particular time period. This also talks about the securities ...
Overwithholding
A term which refers to an excess amount of tax being withheld for an employee. It will be sent back as a refund to the taxpayer after he or she fil ...
Diluted Earnings Per Share - Diluted EPS
It is the measure of a company’s profits.
Covenant
Promise a firm made to an indenture or other formal debt agreement, stating some activities will or won’t be carried out. In finance, it freq ...
Gross Spread
Difference between the security price paid by the underwriter and the actual price charged to the public. The spread compensates the underwriters o ...
POPULAR ARTICLE
SEE FOREX TUTORIAL
A Guide to Your Personal Income Tax: Essentials
In the United States, the progressive tax system is one of the most important yet misunderstood concepts of tax planning. Whenever people are asked ...
A Guide to Your Personal Income Tax: Papers
Documentation is the most significant part of taxation. If you do not properly account your income and expenses, chances are you will likely miss o ...
How Do You Intend to Live?
How do you want to live?
You are no longer happy with the current state of your home. So you are mulling the idea of moving out or remode ...
How Much Does a Home Remodeling Cost?
If your house can handle a renovation, the next thing you need to find out is the cost of a home remodeling.
You may nee ...
Health Savings Account: Eligibility
We discussed the fundamental information regarding HSAs. Now, we shall tackle the qualifications for opening an HSA.
Any person can utili ...
ECONOMIC CALENDAR
| Time | Country | Indices | Period |
|---|---|---|---|
| 02:30 | PMI Manufacturing | Nov | |
| 02:30 | Company Operating Profits | 3 quarter | |
| 02:30 | ANZ Jobs Advertisements | Nov | |
| 03:45 | Markit Final Manufacturing PMI | Nov | |
| 07:30 | Commodity Prices | Nov | |
| 09:30 | Retail Sales | Oct | |
| 10:15 | PMI Manufacturing | Nov | |
| 10:45 | PMI Manufacturing | Nov | |
| 10:50 | PMI Manufacturing | Nov |
