Off balance sheet finance: Difference between revisions
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* [[Liabilities]] | * [[Liabilities]] | ||
* [[Off balance sheet]] | * [[Off balance sheet]] | ||
* [[Securitisation]] | |||
* [[Securitisation special purpose vehicle]] | |||
[[Category:Accounting,_tax_and_regulation]] | [[Category:Accounting,_tax_and_regulation]] | ||
Revision as of 14:30, 19 July 2021
Any form of finance that does not result in a finance liability appearing on a published balance sheet.
On double entry bookkeeping principles, the asset being financed cannot appear either.
The effect of such financing and accounting methods is to show the entity's borrowings - and financial risk - at a lower level than they really are.
