• Security Agreement Document by which a borrower grants a security interest in personal property collateral to a lender as security for the repayment of the borrower's obligations to the lender.
  • Share Purchase Transaction in which the shares of a company are bought by another party. All of the assets and all of the liabilities of the company are also indirectly acquired in a share purchase.
  • Shareholders' Agreement Contract made between the shareholders of a corporation that is typically used to govern and define the relationships between the shareholders, their obligations to the company and to each other, and dictate what they can and cannot do with their shares. It is not necessary or mandatory but is considered a good governance tool in helping manage a company.
  • Sole Proprietor Business organization consisting of a single person doing business alone.
  • Subordinated Debt Debt that sits in-between senior debt and equity in the overall structure of the company’s debt and equity. This is a ranking of debt and not a specific type of debt. For example, if a company has both senior subordinated notes and senior notes, the senior notes are “senior" to the subordinated debt in priority. Generally raised by selling high yield bonds or notes or through a mezzanine financing. Subordinated debt always has looser covenants than the senior debt, which is compensated for with a higher interest rate.
  • Sustainable Economic Development Economic development that meets the needs of the current generation without compromising the needs of future generations.