assets
Definition
Assets are everything of value that your business owns, from the cash in your bank account to your equipment, inventory, vehicles, and even money that customers owe you. Think of assets as anything you could sell or use to pay off a debt if you needed to.
Example
If you own a food truck business, your assets would include the truck itself, your cooking equipment, the ingredients in your kitchen, and any cash you have on hand.
Watch Out
When applying for a loan, lenders will carefully examine your assets because they want to know what they could claim if your business stopped making payments.
See which terms appear in your contract?
This definition is for informational purposes only and does not constitute legal advice. Please consult with a licensed attorney for legal guidance.