Please use the search field below to search the Industry Dictionary for a particular word or a group of words, or use the letters below to search for expressions alphabetically. Search:    A  B  C  D  E  F  G  H  I  J  K  L  M  N  O  P  Q  R  S  T  U  V  W  X  Y  Z  Your search returned 102 result(s). Pacific Rim Those countries who maintain a Pacific Ocean coastline, and often represent countries with a rapidly developing economy. Package The lease application, credit application and supporting documents submitted by a leasing oriented sales person in conjunction with securing a lease approval, and typically occurring during the lease application through approval process. Packager 1. A broker or super-broker. 2. (Wrap lease transactions) The intermediary party who buys the equipment from the initial lessor and sells it to the investor-lessor. Paper Profit The “unrealized” gain on an increase in the value of an asset created by an increase in market price. Par The nominal value of a security. Par Value The nominal stated value of a security (i.e. stock). Parole Evidence Rule The rule of law that provides that a written contract expressing the agreement of the parties to it contains and supercedes all prior oral agreements, and thus, the provisions of the written contract cannot be changed by oral communication or evidence thereof. Partial Open-End Lease A lease transaction in which the lessee guarantees the residual value of the equipment but, unlike in a full open-end lease, does not share in any applicable appreciation of the equipment (i.e. half-way open-end lease, one-way open-end lease). Typically, the end of lease fair market value of the equipment is estimated at lease inception, and upon the conclusion of the lease, the actual value is then determined by either physical appraisal or sale. If the equipment is deemed worth less than originally estimated, the lessee is liable for the deficiency, but if the equipment is worth more, the excess belongs to the lessor. The lessee may or may not have an option to purchase Partial Payment Payment of less than the complete payment necessary to discharge the obligation. Participation A contribution and interest as either a lender or investor in a larger lease or loan transaction that is typically syndicated to a group of such lenders and investors. Participation Agreement The agreement of a group of lenders or investors providing financing for a larger lease or loan transaction as to their respective contributions, interests, rights and responsibilities. Participation Loan A loan in which a group of lenders collectively act as a collaborative unit to provide financing. Partner A member of a partnership or the act of working together in a business, irrespective of the form of business entity Partnership A business enterprise owned by two or more parties, who are jointly and severally liable for all business profits, liabilities, risk, legal issues, and who often share, on a percentage basis, various management authority/responsibility Partnership Certificate A document that provides evidence that the acts of the partnership's manager, management committee or other apparent authority are indeed the authorized acts of the partnership membership. Partnership Interest An ownership interest in a business activity or enterprise organized/established as a “partnership”. Party An individual person, a legal entity, a legal person, a judicial person or any other being or organization recognized as being able to engage in business activities or representation with applicable legal consequences. Party In Interest A party that has an interest which may be affected in some legally recognized manner by actions and/or decisions, in the subject matter at issue. Past Due The status of an account not having been paid by its predetermined and mutually agreed due date. Patent The legal right to control of and profit from an invention or as late a proprietary process. Payee A party who receives payment, typically for the performance or delivery of a good and/or service. Payer A party who makes payment, typically for the receipt of a delivered good and/or service. Payment Satisfaction of a debt obligation of some kind with payment typically in the form of a monetary transfer. Payments In Advance Payments made or due at the beginning of the payment period for either leases or loans. Payments in Arrears Payments made or due at the end of the payment period for either leases or loans. Payoff The amount that will retire a debt or other related obligation at any given point in time. The terminology is typically utilized in reference to both loans and non-cancelable leases. Payor A party who makes payment on a debt or related obligation. Penalty An monetary assessment against a party for failure to meet an obligation on a timely basis or at all. Percentage Lease A lease in which some or all of the lease payments are determined as a percentage of a specified economic activity (i.e. a percentage of gross sales). Percentage Rentals Rental or lease payments in which some or all of the lease payments are determined as a percentage of a specified economic activity (i.e. a percentage of gross sales). Performance The act of or level of status of the fulfillment of a contractual obligation. Performance Bond An indemnity provided to a party to the effect that another party undertaking certain contractual obligations to the indemnified party will perform as promised. Performance bonds are most prevalent in the construction and real-estate development industry. Personal Loan A loan, typically unsecured, made to an individual for non-commercial purposes Personal Property Property that is not real estate (land and its improvements) or a fixture; chattels; movables (i.e. property that is considered immovable). Personal Property Tax A tax levied on the ownership of personal property. Personal/Corporate Guarantee A contractual guarantee provided by an individual, business entity or a corporation for the performance of a specific act or the repayment of a debt or similar obligation. Peseta The standard monetary unit of Andorra and Spain. Pesewa The standard monetary unit of Ghana. Peso The standard monetary unit of Argentina, Chile, Colombia, Cuba, Dominican Republic, Guinea-Bissau, Mexico, Philippines and Uruguay Phantom Income Income that is recognized as being received for tax purposes, when in fact, no actual cash has been Received (i.e. soft taxable income). Pickle Lease U.S. based) A cross-border leveraged lease structured around the limitations of U.S. legislation that limit U.S. federal income tax deductions allowable for equipment used primarily outside the U.S. Placed In Service (U.S. tax based) The date an asset is first used or available for use for the purpose of taking depreciation and for determining other federal income matters. Plant and Equipment Equipment, buildings, and land used in the normal operation of a business or company. Pledge A bailment of property to a creditor to secure payment of a debt or performance of some similar obligation. Pledge Administrator A party that manages a pledge for a synidcate of pledgees, typically in connection with pledge collateral that is securing a syndicated loan (i.e. a security agent). Pledged Assets Assets that have been provided as collateral or security for the performance of a debt or similar obligation, typically repayment of a loan or certain lease structures. Points Units of 100% with each unit being 1.00% or 100 basis points being the equivalent of 1% (e.g., 5 points is equivalent to 5%). The terminology is typically used in conjunction and reference to interest rates, commissions, discounts, service fees and other similar charges. Political Risk Risks to a business enterprise from nationalization, confiscation, expropriation, severely adverse regulation, civil unrest and other government or political misfortunes. Political Risk Insurance Insurance against commercial losses arising from nationalization, confiscation, expropriation, severely adverse regulation, civil unrest and other government or political misfortunes. Pool A collection of funds, assets or other items of similar nature. Portfolio A group of investments (i.e. a stock portfolio, bond portfolio, lease portfolio, etc.). Portfolio Acquisition The process of purchasing a package of lease contracts and the associated discounted cash flow or remaining payments Positive Cash Flow Requirement A loan covenant that requires the borrower to constantly receive more income than expenses generated during the period measured in order to avoid having the loan declared in default. Possession The actual or directional control of a specific asset or other related item. Post-Dated Check A check bearing a date in the future for the purpose of delaying its negotiation/payment to that date or later, depending upon the circumstances or the terms of the any applicable agreement or contract. Power of Attorney The written legal authority to act on behalf on another with the legal effect that the actions of the person so acting are legally binding and considered the actions of the person granting the power of attorney. Preference (U.S. bankruptcy based) A payment to or for the benefit of a creditor made within 90 days prior to filing the bankruptcy petition. The preference period is one year if the payment is to an insider, such as an officer of the debtor or company, and can be garnished or rescinded by a court appointed trustee to the bankruptcy case. Preferred Stock Company stock entitled to a dividend declaration first. Preferred stock most often also has superior rights upon liquidation or windup of the company. Hence, the name Preferred over the more widely known “common stock Premium Perceived or actual value (realized or unrealized) over and above fair market value of a particular asset or item. Prepaid Expense 1. An expense paid before receipt of the good or service to which it relates. 2. (Accounting based) An expense paid in one accounting period for goods or services to be received in another accounting period. Prepaid Income Accounting based) Income received in one accounting period for goods or services to be delivered in another accounting period Prepaid Lease/Rental Payments Lease or rental payments paid before the period in which they would otherwise be due. Prepayment A payment made or received before the period in which it would other wise be due Prepayment Penalty An additional charge for paying off a loan or lease before its scheduled conclusion or term date. Present Value The discounted value of a payment or stream of payments to be received in the future, taking into consideration a specific interest or discount rate. Present value represents a series of future cash flows expressed in today's “current” dollars, and will vary with the discount interest factor applied to future streams of payments. Present Value Factor The discount rate, expressed as a percentage, used to determine present value. Present Value Of An Annuity In Advance Present value of a series of periodic payments made at the beginning of each period within the predetermined annuity series. Present Value Of An Ordinary Annuity Present value of a series of periodic payments made at the end of each period within the predetermined annuity series. Present Value of One Present value of a single lump sum payment made in the future Pricing (Leasing based) The process of determining how much yield will be required for various types of lease transactions in order to meet the leasing company's overall business performance objectives or internal rate of return requirements. Prima Facie At first sight; upon initial examination (i.e. face value). Prime Rate The interest rate that a commercial bank charges its best customers for a loan (i.e. similar to LIBOR) Principal 1. An amount borrowed or leased. 2. The superior authority in an agency relationship. Private Sale A sale process not open to the public. A sale that does not involve the utilization of a public auction. Probate Court supervised administration of the estate of a deceased person. Professional Corporation/Professional Services Corporation A corporation comprised of professionals, such as doctors, dentists, lawyers, accountants, architects or similar trade professionals. Profit Net gain; income in excess of applicable expense. Progress Payments Periodic payments made during the construction of an asset, typically on a percentage-of-completion basis (e.g. 25% of the total cost is paid when the asset is 25% constructed). Project Finance The business of financing large, infrastructure facilities, such as power generation plants, airports or industrial complexes Promise A commitment; an undertaking; an obligation that is often in both an oral and written form. Promissory Note A document that legally evidences the terms and conditions of a debt or similar obligation, including principal amount, interest rate, and both the inception and due dates of the note. Proof of Claim (U.S. bankruptcy. the document filed with the bankruptcy court by a creditor which specifies, documents and supports its claim to an entitlement of payment from the debtor's bankruptcy estate. Proof of Loss Insurance document filed with an insurance company in support of a claim for reimbursement arising from the occurrence of a casualty or other similar loss. Property A tangible or intangible item of value. Proprietor A sole owner of a business. Proprietorship A business enterprise owned by one person, who is directly liable for all business liabilities and legal matters Proprietorship Certificate A document signed by a sole proprietor that certifies that a business enterprise is definitively formed as a sole proprietorship, and identifies that there are no other parties with an ownership interest in the business. Prospectus The legal document by which a security is offered for sale, covering all detailed aspects of the security offering.. Provision A term or condition in an agreement or contract. Provisioning Accounting based) The process of setting aside a monetary reserve to cover bad debts or other losses. Proxy The right to decide and cast another's vote on their behalf Public Auction A sale by a bidding competition that is open to the public Public Notice A notice published in a paper of general circulation for purposes of meeting a legal requirement that entitles the party giving the notice to certain further rights and benefits. Public Sale A sale of property open to the public, and typically in the form of an auction or similar public negotiation. Purchase The process of buying or acquiring an item through some form of monetary or credit exchange. Purchase Agreement An agreement by which the terms and conditions of purchased goods and/or service is disclosed. Purchase and Sale Agreement An agreement disclosing the terms and/or conditions of goods or service to be bought or sold. Purchase Money Security Interest (U.S. based) A security interest under Article 9 of the Uniform Commercial Code that is created as a result of the advance of funds which are used to purchase the asset(s) in which the security interest exists. Purchase Option A provision, assuming the lessee is not in default under the terms and conditions in the lease contract, providing the lessee an option to purchase the leased equipment at the end of the lease term for either a fixed amount or at the future fair market value of the leased equipment. Purchase Order An offer for the purchase of an item of property. The purchase order will normally specify the terms and conditions whereby the buyer is willing to make the purchase; when accepted by the seller. Put (1). A shorthand reference to a put option. (2). An option one person has to sell an asset to another person at a set price at some established point in time in the future. In lease agreements, a lessor sometimes negotiates an option to sell leased equipment to the lessee or to some third party at an established price at the end of the lease term. This is to protect the lessor's exposure on the residual value of the leased equipment at the end of the lease term. Put Option (Leasing based) An option in a lease in which the exercise of the option is at the lessor's, not the lessee's, discretion. About Us | Services Offered | Financing Available | Equipment Financed | Financing Advantages | Application Center | PDF Download | Vendor Login | Industry Dictionary | Career Opportunities | Information Request | FAQs | Partner Alliance Program | Site Map | Home