Speak fluent finance.

The percentage of new signups that complete a key action indicating they have found value. Activation is the bridge between acquisition and retention. A high signup rate with low activation means your onboarding is broken.

The set of laws, regulations, and procedures designed to prevent criminals from disguising illegal funds as legitimate income. AML compliance requires ongoing transaction monitoring, suspicious activity reporting, and customer due diligence.

The gradual repayment of a loan through scheduled payments over time. Each payment covers a portion of the principal plus interest. Amortisation schedules vary: some loans require equal payments, others are structured with a balloon payment at the end.

An individual who invests personal capital into early-stage companies in exchange for equity. Angels typically invest between EUR 10K and EUR 500K and often bring industry expertise and connections alongside their cheque.

The annualised revenue from a single customer contract. If a customer pays EUR 36K for a three-year deal, the ACV is EUR 12K. ACV helps you compare deal sizes and track whether your sales team is moving upmarket.

A discount offered to customers who pay annually instead of monthly. Typical discounts range from 10% to 20%. Annual prepay improves cash flow, reduces churn (customers who pay upfront are less likely to cancel), and simplifies billing.

The total value of your recurring subscription revenue, normalised to a one-year period. ARR is the metric investors use to benchmark scale. If your MRR is EUR 100K, your ARR is EUR 1.2M. It only counts predictable, repeating revenue. One-off fees, services, and variable usage charges do not belong here.

A provision that protects investors if the company raises a future round at a lower valuation (a down round). Anti-dilution adjusts the investor's conversion price so they receive more shares. Weighted average is the standard approach. Full ratchet is aggressive and founder-unfriendly.

A lending approach that uses annual recurring revenue as the primary indicator of creditworthiness, instead of traditional collateral or profitability history. ARR-based underwriting is designed for tech companies where the value lies in predictable future revenue.

Total revenue divided by total users or accounts over a given period. ARPU shows whether your pricing is working. Rising ARPU means customers are buying more or paying more. Flat or declining ARPU signals pricing pressure.

Software sold to other businesses on a subscription basis, delivered via the cloud. B2B SaaS combines recurring revenue, high gross margins, and scalable distribution. It is the business model that most of the modern tech economy is built on.

A model where licensed banks provide their banking infrastructure to non-bank companies via APIs. BaaS lets fintechs and tech companies offer accounts, payments, and cards without holding a banking licence themselves.

The total value of new contracts signed in a period, regardless of when the revenue is recognised. Bookings is a sales metric. Revenue is an accounting metric. A EUR 120K annual contract signed in December shows up as a booking immediately but as revenue over the following 12 months.

Building a company using personal funds and revenue rather than external investment. Bootstrapped founders retain full ownership and control. The trade-off is slower growth and less margin for error. The reward is keeping everything you build.

The moment total revenue equals total costs. For startups, this often refers to the month where your company becomes self-sustaining. It is the point where you stop needing external capital to survive.

Short-term capital used to cover the gap between two funding events. A bridge round buys time to hit milestones or improve terms before a larger raise. It can be structured as equity, convertible notes, or debt.

Net burn divided by net new ARR. It measures how efficiently you convert cash into growth. Below 1x is exceptional: you spend less than a dollar for every dollar of new ARR. Above 3x and investors start asking questions.

The rate at which your company spends cash beyond what it earns. Gross burn is total monthly spend. Net burn is spend minus revenue. Net burn determines how long your money lasts.

The number of months it takes to recoup your customer acquisition cost through gross margin. Shorter is better. Under 12 months is strong. Over 24 months means you are tying up capital for a long time before seeing a return.

Spending on assets that provide value over multiple years: servers, equipment, office buildouts. For cloud-native companies, CapEx is typically small because infrastructure is rented, not owned.

A spreadsheet or system that records every shareholder, their share class, and their ownership percentage. The cap table is the single source of truth for who owns what. Messy cap tables slow down funding rounds and scare off investors.

The practice of monitoring, collecting, and optimising a company's cash position. Cash management includes forecasting inflows and outflows, managing bank balances across accounts, and ensuring the company always has enough liquidity to operate.

A treasury technique that consolidates the cash balances of multiple entities or accounts into a single pool. Cash pooling reduces the need for external borrowing by letting surplus cash in one entity offset deficits in another.

The number of months your company can operate at its current burn rate before the money runs out. Divide your cash balance by monthly net burn. Twelve months is a minimum comfort zone. Under six months is a fundraising emergency.

The percentage of customers or revenue you lose over a given period. Customer churn counts lost accounts. Revenue churn measures the dollar impact. A 5% monthly churn rate means you replace half your customer base every year.

A waiting period before any equity vests. A one-year cliff means no shares are earned until the first anniversary. On that date, 25% of the total grant vests at once. The cliff protects the company from giving equity to someone who leaves early.

The direct costs of delivering your product. In tech, COGS typically includes hosting, third-party software, payment processing, and customer support headcount. Everything else falls into operating expenses.

Grouping customers by the period they were acquired and tracking their behaviour over time. Cohort analysis reveals whether your newest customers retain as well as your earliest ones. If recent cohorts churn faster, something has changed.

Assets pledged to secure a loan. If you default, the lender can claim the collateral. Traditional lenders require physical assets. Tech-focused lenders often use recurring revenue or intellectual property as soft collateral.

Shares held by founders and employees. Common stock sits below preferred stock in the liquidation waterfall. It has voting rights but no special protections. In a bad exit, common holders may receive nothing after preferred shareholders are paid out.

The revenue lost when existing customers downgrade their plans or reduce usage. Contraction is not churn. The customer stays, but they pay less. It is a warning signal that your product is delivering less value over time.

A short-term loan that converts into equity at a future financing round, usually at a discount. Convertible notes defer the valuation discussion and are common in seed-stage fundraising. They carry an interest rate and a maturity date.

The arrangement where one bank (the correspondent) provides services on behalf of another bank (the respondent) in a different country. Correspondent banking is how most cross-border payments work. Each intermediary adds time and cost.

A condition written into a loan agreement that the borrower must meet. Financial covenants might require maintaining a minimum revenue level or cash balance. Breaching a covenant can trigger default, even if you are making payments on time.

Raising small amounts from a large number of people, usually through online platforms. Equity crowdfunding gives backers shares. Reward crowdfunding gives them the product. Revenue-based crowdfunding is emerging as a third model.

Current assets divided by current liabilities. It measures your ability to pay short-term obligations. A ratio above 1.0 means you can cover your near-term bills. Below 1.0 and you may have a liquidity problem.

The total cost of acquiring a new customer. Add up sales salaries, marketing spend, tools, and overhead. Divide by the number of new customers. CAC is only useful when paired with LTV. A high CAC is fine if LTV is higher.

The total revenue a customer generates over their entire relationship with your company. LTV is a function of ARPU, gross margin, and churn rate. It tells you how much a customer is worth so you know how much to spend acquiring one.

Total liabilities divided by total shareholders' equity. It measures how much of the company is financed by debt versus equity. Higher ratios indicate more leverage and more financial risk.

Failure to meet the obligations of a loan agreement. Default can be triggered by missed payments, covenant breaches, or material adverse changes in the business. Consequences range from penalty fees to acceleration of the entire loan balance.

Money you have collected but not yet earned. When a customer pays annually upfront, you recognise revenue month by month. The unearned portion sits on your balance sheet as a liability. It is cash in the bank but not revenue on the income statement.

The reduction in ownership percentage that happens when new shares are issued. Every equity round dilutes existing shareholders. A founder who owns 100% before their seed round might own 80% after. By Series C, that number is often below 50%.

An authorised instruction that allows a company to collect payments directly from a customer's bank account on a recurring basis. Direct debit is the backbone of subscription billing in Europe. SEPA Direct Debit covers the eurozone. Each country may also have local schemes.

A funding round at a lower valuation than the previous one. Down rounds signal that the company has not performed as expected. They trigger anti-dilution protections and can significantly dilute founders and employees.

A provision that allows majority shareholders to force minority shareholders to sell their shares in a transaction. Drag-along rights prevent small shareholders from blocking an exit that the majority supports.

The act of accessing funds from a credit facility. When you draw EUR 200K from a EUR 1M revolving facility, that is a drawdown. You now owe EUR 200K and still have EUR 800K available.

Float's model for Growth Funding. It describes the revolving nature of the facility: draw capital, invest it in growth, repay, and draw again. The facility scales with your revenue.

Earnings before interest, taxes, depreciation, and amortisation. EBITDA approximates operating cash flow and lets you compare profitability across companies regardless of how they are financed or where they are based.

EBITDA as a percentage of revenue. It measures operating profitability. A 20% EBITDA margin means you keep twenty cents of every euro after operating costs. It is a key input to the Rule of 40.

A financial institution licensed to issue electronic money and provide payment services. EMIs are regulated but lighter than full banks. Many fintechs operate as EMIs or partner with EMI-licensed entities to offer accounts and payments.

A pool of shares set aside for employee equity compensation. Investors typically expect a 10-15% ESOP before a Series A. The ESOP comes out of the founders' ownership, not the investors'.

The benchmark rate at which European banks lend to each other. EURIBOR is the reference rate for many variable-rate loans and credit facilities in Europe. When EURIBOR rises, your borrowing cost rises with it.

Additional revenue earned from existing customers through upsells, cross-sells, or plan upgrades. Expansion revenue is what separates good SaaS from great SaaS. When expansion outpaces churn, you grow even without signing new customers.

The maximum amount available under a credit facility. A EUR 1M facility limit means you can draw up to EUR 1M at any time. The limit may increase as your revenue grows.

The conversion of one currency into another. FX matters the moment your business operates across borders. The exchange rate you get, when you convert, and how you manage exposure can meaningfully affect your margins.

Cash generated by operations minus capital expenditures. FCF is what is actually left over after running the business and investing in its future. It is the number that determines whether you can fund growth, pay down debt, or return capital.

A pricing strategy where the base product is free, with paid tiers for advanced features or usage. Freemium lowers the barrier to adoption and works best when the free tier demonstrates clear value and the upgrade path is obvious.

The current market price for exchanging one currency for another. The spot rate is what you get if you convert right now. Forward rates lock in a price for future conversion. The spread between the rate you get and the mid-market rate is the cost you pay.

The EU regulation governing how companies collect, store, and process personal data. GDPR applies to any company handling data of EU residents, regardless of where the company is based. Non-compliance carries fines of up to 4% of global revenue.

Float's Global Accounts product. Multi-currency accounts that let tech companies hold, send, and receive money across borders with transparent FX rates. Built for companies operating across multiple European markets.

A period after the loan is drawn during which no principal repayment is required. Interest may still accrue. Grace periods give borrowers time to deploy capital before repayment begins. Float offers grace periods of 0, 3, or 6 months.

Non-repayable funding, usually from governments, foundations, or industry bodies. Grants are the most founder-friendly capital. No equity, no repayment, no interest. The trade-off is time: applications are slow and reporting requirements are heavy.

Revenue minus the direct cost of delivering your product, expressed as a percentage. For software companies, gross margins typically land between 70% and 85%. Lower margins usually signal too much professional services or infrastructure cost.

CAC payback adjusted for gross margin. If your CAC is EUR 10K and your monthly ARPU is EUR 1K but gross margin is 80%, your effective monthly contribution is EUR 800. Payback is 12.5 months, not 10.

The total value of transactions processed through a platform. GMV is a common metric for marketplaces and payment platforms. It is not revenue. Your take rate multiplied by GMV gives you actual revenue.

Revenue retained from existing customers excluding expansion. GRR isolates your ability to keep customers from leaving or shrinking. It can never exceed 100%. If your GRR is 85%, you lose 15% of revenue each year before any upselling.

Capital invested in mature, profitable companies that need funding to scale further. Growth equity sits between venture capital and private equity. The investor takes a minority stake and the company retains control.

Float's lending product. A non-dilutive revolving credit facility designed for recurring-revenue tech companies. Draw capital as you need it. Repay as you grow. No equity, no warrants, no personal guarantees.

Using financial instruments to reduce exposure to currency, interest rate, or other financial risks. FX hedging, for example, lets you lock in exchange rates for future payments so a swing in EUR/GBP does not wipe out your margins.

A measure of how dependent your revenue is on a small number of customers. If one customer accounts for 30% of your ARR, you have a concentration risk. Investors and lenders look for diversified revenue bases.

A standardised account number format used for cross-border payments, primarily in Europe. An IBAN identifies the country, bank, branch, and account in a single string. It reduces errors and speeds up international transfers.

The movement of funds between entities within the same corporate group. When your UK subsidiary pays your Swedish parent company, that is an intercompany transfer. Managing these efficiently reduces FX costs and simplifies accounting.

The cost of borrowing money, expressed as a percentage of the principal over a period. Interest rates can be fixed (same for the life of the loan) or variable (tied to a benchmark rate like EURIBOR).

Selling outstanding invoices to a third party at a discount in exchange for immediate cash. Factoring helps companies with long payment cycles access working capital. You trade a small margin for speed.

The process of verifying the identity of a customer before providing financial services. KYC typically involves collecting identification documents, proof of address, and information about the customer's business. It is a legal requirement for banks and regulated financial institutions.

A borrowing arrangement that lets you draw funds up to a set limit and pay interest only on what you use. Lines of credit provide flexible working capital without a fixed drawdown or repayment schedule.

The right of preferred shareholders to be paid back before common shareholders when the company is sold or liquidated. A 1x non-participating preference means the investor gets their money back first. Participating preferences let them double dip: money back plus their pro-rata share of what remains.

The percentage of customer accounts lost in a period, regardless of revenue. Losing ten small customers and one large one looks different in logo churn versus revenue churn. Both matter, but they tell different stories.

How much a customer is worth versus how much it costs to acquire them. A ratio of 3:1 means you earn three euros for every euro spent on acquisition. Below 1:1 and you are losing money on every customer. Above 5:1 and you might be underinvesting in growth.

A measure of sales efficiency. Take the increase in quarterly revenue, multiply by four, and divide by the previous quarter's sales and marketing spend. Above 1.0 is efficient. Below 0.5 means your sales engine needs work.

The date by which a loan must be fully repaid. A 12-month facility drawn in January matures in January of the following year. At maturity, any outstanding balance must be repaid or the facility refinanced.

A lump sum advance repaid through a fixed percentage of daily or weekly revenue. MCAs offer speed but at high effective cost. The total repayment amount (factor rate) is agreed upfront, making it more expensive than most alternatives.

A hybrid of debt and equity, typically used in later-stage or pre-exit situations. Mezzanine debt is subordinated (repaid after senior debt) and often includes equity conversion features. It fills the gap between senior debt and pure equity.

The predictable revenue your business earns every month from active subscriptions. MRR is built from four components: new (first-time customers), expansion (upsells and upgrades), contraction (downgrades), and churn (cancellations). Together they tell you whether the business is growing or leaking.

The components that make up changes in MRR each month: new MRR (new customers), expansion MRR (upsells), contraction MRR (downgrades), and churned MRR (cancellations). Tracking these individually reveals what is driving growth or decline.

An account that holds balances in multiple currencies simultaneously. Instead of converting every payment into your home currency, you keep EUR, GBP, USD and other balances side by side, pay suppliers in their currency, and convert only when the rate suits you. Float's Global Accounts are multi-currency accounts.

The total new ARR added in a period, after subtracting churn and contraction. Net new ARR is the clearest measure of real growth. A company adding EUR 2M in new business but losing EUR 800K to churn has EUR 1.2M in net new ARR.

A survey-based metric that measures customer loyalty. Customers rate their likelihood to recommend you on a 0-10 scale. Promoters (9-10) minus detractors (0-6) gives your NPS. Above 50 is excellent. Below 0 means you have a problem.

The percentage of revenue retained from your existing customer base over a period, including expansions, contractions, and churn. Also called net dollar retention (NDR). NRR above 100% means your customers are worth more over time. Above 120% is elite. Below 90% and you are on a treadmill.

Any form of capital that does not require giving up equity. This includes revenue-based financing, term loans, revolving credit, grants, and government incentives. Non-dilutive funding lets you grow while retaining full ownership.

The practice of sharing banking data with authorised third parties through secure APIs. Open banking lets companies aggregate account information, initiate payments, and build financial products without being a bank. It is enabled by PSD2 in Europe and similar regulations globally.

The ongoing costs of running the business that are not directly tied to delivering the product. OpEx includes sales, marketing, research and development, and general and administrative costs. In tech, OpEx is where most of the money goes.

Revenue minus COGS and all operating expenses (sales, marketing, R&D, and G&A), expressed as a percentage of revenue. Operating margin shows the profitability of the core business before interest and taxes.

The infrastructure and networks that move money from one account to another. SEPA, SWIFT, ACH, Faster Payments, and card networks are all payment rails. Each has different speed, cost, and geographic coverage.

A commitment by a founder or director to personally repay a company's debt if the company cannot. Personal guarantees put your personal assets at risk. Many modern lending products for tech companies do not require them.

Pre-money valuation plus the amount invested. Using the example above: EUR 10M pre-money + EUR 2M investment = EUR 12M post-money. Post-money is what headlines report. Pre-money is what matters to founders.

Shares held by investors, typically carrying special rights: liquidation preference, anti-dilution protection, board seats, and information rights. Preferred stock converts to common stock at the investor's option, usually at IPO or a qualifying exit.

What your company is worth before new investment comes in. If your pre-money valuation is EUR 10M and you raise EUR 2M, the investor gets roughly 17% of the company. Pre-money valuation is where the negotiation happens.

The earliest stage of external funding, typically used to validate an idea, build a prototype, or test early assumptions. Pre-seed rounds are usually small (EUR 50K to EUR 500K) and funded by angels, accelerators, or the founders themselves.

The original amount of money borrowed, before interest. When you draw EUR 500K from a credit facility, the principal is EUR 500K. Interest is charged on the principal.

Investment firms that buy significant or controlling stakes in established companies. PE is not startup capital. It is designed for mature businesses where the investor believes they can improve operations, margins, or strategic direction.

A go-to-market strategy where the product is the primary driver of customer acquisition, expansion, and retention. PLG companies offer free trials or freemium tiers and let the product sell itself. Slack, Zoom, and Notion are classic examples.

The moment when your product satisfies strong market demand. You know you have PMF when customers actively seek you out, retention is high, and growth feels pulled rather than pushed. It is the prerequisite for scaling.

The right of an existing investor to participate in future rounds to maintain their ownership percentage. Pro-rata rights let early investors avoid dilution by investing more. They are standard in most term sheets.

An EU regulation that opened up banking data and payment infrastructure to third-party providers. PSD2 is the legal foundation for open banking in Europe. It requires banks to share account data (with customer consent) via secure APIs.

New MRR plus expansion MRR, divided by churned MRR plus contraction MRR. A SaaS quick ratio above 4 means for every dollar you lose, you add four. It is a measure of how efficiently your growth outpaces your losses.

The process of matching your internal records with your bank statements to ensure every transaction is accounted for. Manual reconciliation is time-consuming and error-prone. Automated reconciliation is a core feature of modern treasury platforms.

Revenue that repeats predictably each billing period without requiring a new sale. It is the foundation of subscription business models and the primary reason tech companies command higher valuations than traditional businesses.

A company that holds a licence from a financial regulatory authority (such as the FCA in the UK, BaFin in Germany, or Finansinspektionen in Sweden) and is subject to ongoing supervision. Being regulated means meeting capital requirements, reporting obligations, and conduct standards.

Capital provided in exchange for a percentage of future revenue until a set amount is repaid. RBF is non-dilutive and cash-flow aligned. Payments flex with your revenue: when business is strong, you repay faster. When it slows, payments shrink.

The accounting rules that determine when revenue counts on your income statement. Under ASC 606 and IFRS 15, you recognise revenue as you deliver the service, not when cash hits the account. This matters for annual contracts and multi-year deals.

A projection of future revenue based on current performance. Take your most recent month or quarter and annualise it. Run rate is useful for quick estimates but dangerous if your growth is uneven or seasonal.

A credit line you can draw from, repay, and draw from again up to a set limit. Unlike a term loan, where you borrow once and repay over time, a revolving facility replenishes as you repay and you only pay interest on what you have drawn. Float's Growth Funding works this way.

A benchmark for healthy tech companies: revenue growth rate plus profit margin (usually EBITDA or free cash flow margin) should equal or exceed 40%. A company growing at 60% with a -20% margin scores 40 and passes. A company growing at 15% with a 10% margin scores 25 and falls short.

A spreadsheet or tool that projects revenue, expenses, cash flow, and key metrics over time. A good financial model is built around MRR dynamics: new, expansion, contraction, and churn. It is essential for fundraising, budgeting, and scenario planning.

The revenue or earnings multiples used to value tech companies, typically expressed as a multiple of ARR. A company with EUR 5M ARR valued at EUR 50M trades at a 10x multiple. Multiples vary based on growth, retention, margins, and market conditions.

A funding instrument created by Y Combinator that gives investors the right to future equity without setting a valuation now. Unlike convertible notes, SAFEs have no interest rate and no maturity date. They are the most common instrument for pre-seed and seed rounds.

A go-to-market strategy where a sales team drives customer acquisition. SLG is common in enterprise software where deal sizes are large, sales cycles are long, and buyers need human interaction before committing.

The first significant round of external funding. Seed capital is used to build the product, hire the initial team, and find early customers. Typical seed rounds range from EUR 500K to EUR 3M and are priced or structured as SAFEs.

Debt that has priority over other obligations in the repayment hierarchy. In a default, senior debt holders are paid first. Bank loans and revolving credit facilities are typically senior debt.

A payment integration initiative that standardises euro transfers across 36 European countries. SEPA Credit Transfers and SEPA Direct Debits work the same whether you are sending money from Berlin to Barcelona or Amsterdam to Athens. Settlement is typically one business day.

The first major institutional round, usually led by a VC firm. Series A capital funds the transition from product-market fit to scalable growth. It comes with a priced round, a lead investor, a board seat, and significantly more scrutiny.

Follow-on rounds that fund scaling: expanding the team, entering new markets, and building operational infrastructure. Each subsequent round typically involves larger cheques, higher valuations, and more complex governance.

The portion of TAM that your product and business model can realistically serve. If your TAM is all European businesses but you only serve companies with EUR 500K+ ARR in 16 countries, your SAM is a smaller slice.

The process of transferring funds between parties to complete a transaction. Settlement can be instant, same-day, or take multiple business days depending on the payment rail and the banks involved.

An auditing standard that evaluates a company's controls over data security, availability, processing integrity, confidentiality, and privacy. SOC 2 compliance is table stakes for any tech company handling sensitive financial data. Customers and partners expect it.

The right to buy company shares at a predetermined price (the strike price) after a vesting period. Options are the standard tool for compensating employees in tech companies. If the company grows, the difference between strike price and market value is the employee's gain.

Debt that ranks below other loans in the repayment hierarchy. If the company defaults, subordinated lenders are paid after senior lenders. This higher risk typically means a higher cost.

The global messaging network that banks use to send payment instructions across borders. A SWIFT transfer is not the payment itself. It is the instruction that tells banks where to move the money. SWIFT payments can take one to five business days and involve intermediary fees.

The right of minority shareholders to join a sale initiated by majority shareholders, on the same terms. Tag-along rights protect small investors from being left behind when large shareholders sell.

A loan with a fixed repayment schedule over a set period. You receive capital upfront and repay in regular instalments. Term loans offer predictability but less flexibility than a revolving facility.

A non-binding document that outlines the key terms of a proposed investment. The term sheet covers valuation, investment amount, board composition, liquidation preference, anti-dilution, and other rights. It is the starting point for negotiation, not the final agreement.

The total revenue opportunity for your product if you captured 100% of the market. TAM is a theoretical ceiling, not a forecast. Investors use it to assess how big the opportunity could be. Founders use it to prioritise where to compete.

The function responsible for managing a company's cash, debt, investments, and financial risk. In a tech company, treasury handles bank relationships, FX exposure, funding facilities, and cash deployment. As companies scale across borders, treasury becomes a strategic function.

The revenues and costs associated with a single unit of your business, usually one customer. Strong unit economics mean each customer is profitable on a standalone basis. Weak unit economics mean growth makes you less profitable, not more.

Equity financing from institutional investors who provide capital in exchange for ownership and influence. VC funding typically comes with board seats, governance rights, and pressure to grow fast toward a large exit. It is the most common growth capital for high-growth tech companies.

Debt financing for venture-backed companies, usually structured as a term loan with warrants. Venture debt supplements equity rounds and extends runway. The warrants give the lender a small equity kicker, making it cheaper than pure equity but more expensive than traditional debt.

The process by which founders and employees earn their equity over time. Standard vesting is four years with a one-year cliff. If you leave before the cliff, you get nothing. After the cliff, shares vest monthly or quarterly.

How many new users each existing user brings in through referrals or organic sharing. A coefficient above 1.0 means exponential growth without paid acquisition. Below 1.0 means you still need marketing to grow.

A unique IBAN that routes to a master bank account. Virtual IBANs let you create dedicated account numbers for each customer, entity, or currency without opening separate bank accounts. They simplify reconciliation and cash management.

The right (but not the obligation) to buy shares at a fixed price in the future. Lenders often attach warrants to venture debt as an equity kicker. They are cheaper than giving up shares directly but still dilutive when exercised.

Current assets minus current liabilities. Working capital measures your ability to cover short-term obligations. Positive working capital means you can pay your bills. Negative working capital means you are relying on future revenue to meet current commitments.