Financing expenses, that is, the provision of money used to develop a project or business. Financing can come from own funds with a variable return based on profits or from external funds that charge a fixed return or interest. Financial expenses are classified into general financial expenses, such as loans and credits, or commercial financial expenses, such as discounts and customer financing. A credit is a legal act with a corresponding contract by which one party grants another the temporary use of a certain amount of money in exchange for a remuneration of interest, while a loan is a contract by which one of the parties delivers money or another fungible thing, with the condition of returning the same amount of the same species and quality. A credit is distinguished from a loan in that in the former, up to a certain amount or limit can be available, while in the latter, it is a specific and fixed amount. On the other hand, a discount is a negotiated reduction from the list price or retail price applied to a particular merchandise.
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