business organizations



Abbreviation for accounts receivable.

Accelerated Depreciation


Any method of depreciation used by businesses for accounting or tax purposes that allows greater deductions in the earlier years of the life of a company asset, as opposed to the straight-line depreciation method.


Acceleration Clause


An accelerated clause is a term in a loan agreement that requires the borrower to pay off the loan immediately under certain conditions.


An accelerated clause is typically invoked when the borrower materially breaches the loan...

Accumulated Earnings


Net profits of a company that are not distributed as shareholder dividends. Accumulated earnings are often reinvested into the company itself.

See alsoDividendProfit

Alter Ego


Legal doctrine whereby the court finds a corporation lacks a separate identity from an individual or corporate shareholder, resulting in injustice to the corporation’s debtors. Finding alter ego gives the court cause to pierce the...

Annual Meeting


An annual meeting of the shareholders of a corporation, at a time and place determined by the corporation's bylaws. Also known as the "annual general meeting" (AGM). Shareholders meet to elect directors whose seats on the board are up for re-...

Anti-Greenmail Provision


Provision in a corporate charter that prevents the board of directors from making greenmail payments. Usually allows the buyback to occur with the approval of a majority of the non-controlling shareholders.

See alsoGreenmailArticle of...

Antitrust Laws

Definition from Nolo’s Plain-English Law DictionaryFederal and state laws created to regulate trade and commerce by preventing unlawful restraints, price-fixing, and monopolies. The laws are intended to promote healthy market competition and encourage the...

Antitrust Violations

Violations of laws designed to protect trade and commerce from abusive practices such as price-fixing, restraints, price discrimination, and monopolization. The principal federal antitrust laws are the Sherman Act (15 U.S.C. §§ 1-7) and the Clayton Act...

Articles of Incorporation


The highest governing document in a corporation. Also known as the corporate charter, it generally includes the purpose of the corporation, the type and number of shares, and the process of electing a board of directors. The articles of...