What is a VSAT? A VSAT (Very Small Aperture Terminal), also known as a micro-terminal, refers to a wide range of remote terminals that are small in size but which nevertheless allow access to a larger data network. A VSAT allows users to access and manage data in real time and comes with many applications…
What is a Void Contract? A void contract is a contract that isn’t legally enforceable, starting from the time it was created. While both a void and voidable contract are null, a void contract cannot be ratified. In a legal sense, a void contract is treated as if it was never created and becomes unenforceable…
What is an Asset Swap? An asset swap is a derivative contract between two parties that swaps fixed and floating assets. The transactions are done over-the-counter based on the amount and terms agreed upon by both sides of the transaction. How an Asset Swap Works Suppose a buyer wants to purchase a corporate bond but…
What is Asset Financing? Asset financing is a type of borrowing related to the assets of a company. In asset financing, the company uses its existing inventory, accounts receivable, or short-term investments to secure short-term financing. There are two ways to finance assets: The first involves companies using financing to secure the use of assets,…
What is Net Operating Loss (NOL)? A net operating loss (NOL) for income tax purposes is when a company’s allowable deductions exceed the taxable income in a tax period. When a company’s deductibles are greater than its actual income, the Internal Revenue Service (IRS) allows the company to use the loss to reduce previous years’…
What is a Working Capital Loan? A working capital loan is a type of short-term loan offered by a bank or alternative lender to finance a company’s everyday operations. The goal of working capital loans is to provide working capital for short-term capital expenditures, such as wages, rent, debt service payments, or to finance activities,…
What is a Bank Guarantee? A bank guarantee is an assurance that a bank provides to a contract between two external parties, a buyer and a seller, or in relation to the guarantee, an applicant and a beneficiary. The bank guarantee serves as a risk management tool for the beneficiary, as the bank assumes liability…
What is Agribusiness? Agribusiness is the complete value chain in agriculture, from the raw materials and resources necessary to create biological products to distributors and retailers that get products to end consumers. It can be separated into four links: input providers, producers, processors, and other service providers (such as marketers, distributors, etc.). Each link adds…
What is Artificial Intelligence (AI)? Artificial Intelligence (AI) is a broad branch of computer science that is focused on a machine’s capability to produce rational behavior from external inputs. The goal of AI is to create systems that can perform tasks that would otherwise require human intelligence. AI manifests itself in everyday life via virtual…
