Off balance sheet finance

From ACT Wiki
Revision as of 14:30, 19 July 2021 by imported>Doug Williamson (Add links.)
Jump to navigationJump to search

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.


See also