Legal Dictionary of Pakistan

Quick lookup for English, Urdu, and Latin legal terms used in Pakistani jurisprudence.

Asset-based financing

see financing.

Financing

n. 1. The act or process of raising or providing funds. 2. Funds that are raised or provided. -finance, ub.

Refinancing

n. An exchange of an old debt for a new debt, as by negotiating a different interest rate or term or by repaying the existing loan with money acquired from a new loan. - refinance, vb.

asset-based financing

A method of lending in which lenders and investors look principally to the cash flow from a particular asset for repayment.

construction financing

See interim financing.

debt financing

The raising of funds by issuing bonds or notes or by borrowing from a financial institution.

debt financing.

See INANCIN

direct financing

See FINANCY.,

equity financing

1. The raising of funds by issuing capital securities (shares in the business) rather than making loans or selling bonds. 2. The capital so raised.

field-warehouse financing agreement

The loan agreement in a field-warehousing arrangement.

financing agency

A bank, finance company, or other entity that in the ordinary course of business (1) makes advances against goods or documents of title, or (2) by arrangement with either the seller or the buyer intervenes to make or collect payment due or claimed under a contract for sale, as by purchasing or paying the seller's draft, making advances against it, or taking it for collection, regardless of whether documents of title accompany the draft. ucc ยง 2-102(a)(20).

financing statement

A document filed in the public records to notify third parties, usu. prospective buyers and lenders, of a secured party's security interest in goods. Cf. FINANCIAL STATEMENT.

floor plan financing

A loan that is secured by merchandise and paid off as the goods are sold. ( Usu. such a loan is given by a manu facturer to a retailer or other dealer (as a car dealer). - Also termed floor planning. Cf. FIELD WAREHOUSING.

floor-plan financing.

See FINANCING,

gap financing

Interim financing used to fund the difference between a current loan and a loan to be received in the future, esp. between two long-term loans. See bridge loan under LOAN.

interim financing

See FINANCING,

internal financing

A funding method using funds generated through the company's operations rather than from stock issues or bank loans.

link financing

The obtaining of credit by depositing funds in another's bank account to aid the other in obtaining a loan.

outside financing

See FINANCING.

permanent financing

See FINANCING.

project financing

A method of funding in which the lender looks primarily to the money generated by a single project as security for the loan. ( This type of financing i's usu. used for large, complex, and expensive singlepurpose projects such as power plants, chemical-processing plants, mines, and toll roads. The lender is usu. paid solely or almost exclusively out of the money generated by the contracts for the facility's output (sometimes paid by customers directly into an account maintained by the lender), such as the electricity sold by a power plant. The lender usu. requires the facility to be developed and owned by a special-purpose entity (sometimes called a bankruptcy-remote entity), which can be a corporation, limited partnership, or other legal entity, that is permitted to perform no function other than developing, owning, and operating the facility. See SINGLE-PURPOSE PROJECT; SPECIAL-PURPOSE ENTITY; BANKRUPTCY-REMOTE ENTITY.

tax-increment financing

.A technique used by a municipality to finance commercial develop ments usu. involving issuing bonds to finance land acquisition and other up-front costs, any? then using the additional property taxes gener ated from the new development to service the debt. - Abbr. TIF.