Business Banking
This financial statement shows a company’s revenues and expenses over a period of time.
income statement
Office, industrial, retail, and multifamily are examples of this type of asset class.
Commercial Real Estate
Current assets divided by current liabilities equals this ratio
Current Ratio
This is the percentage charged by a lender for borrowing money or earned on savings over time.
Interest Rate
This document lists an individual’s assets, liabilities, income, and contingent obligations.
Personal Financial Statement
In business banking, what is the primary repayment source banks look at to determine a company's ability to pay back debt?
Business Cash Flow
This metric compares a property’s income to its debt obligations.
Debt Service Coverage (DSCR)
This profitability metric measures earnings before interest, taxes, depreciation, and amortization.
EBITDA
This type of loan is commonly used to finance equipment purchases over a fixed term.
Term Loan
Banks will order these documents from specialized firms to perform thorough inspections, sales comps, and research an area's economic indicators to confirm the value of a collateral property.
Appraisal
This banking product allows businesses to borrow, repay, and borrow again up to a set limit.
Line of Credit (LOC)
Name 1 of 2 primary websites used to find sale comparables when evaluating collateral values
MLS, CoStar
This ratio is used to calculate a persons total annual debt payments to their income
All debt ratio
This repayment structure requires equal principal and interest payments over time.
Amortization
A periodic report showing eligible collateral supporting a line of credit.
Borrowing Base Certificate
What kind of rate is generally used when originating lines of credit?
Wall Street Prime
What schedule(s) are used to find rental incomes from properties
This percentage is used to determine the amount of debt on a piece of collateral compared to the actual value of the collateral
Loan-to-Value
A lender adds this feature to prevent interest income from dropping too low.
Floor Rate
This required notice tells a borrower why their credit request was denied.
Adverse Action Notice
This document gives a bank legal authority to open accounts and borrow on behalf of a business.
Disclosure Statement
This type of lease requires the tenant to pay taxes, insurance, and maintenance costs in addition to rent.
Triple net (NNN) lease?
This ratio combines the business and personal annual cashflows and debt payments to show their combined ability to pay debt.
Global Debt Service
What does PPP stand for?
Pre-Payment Penalty
Forward‑looking financials used to evaluate projected performance after a major event like an acquisition.
Pro Forma Statement