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LSDefine

Simple English definitions for legal terms

equity participation

Read a random definition: Proprietor

A quick definition of equity participation:

Equity participation is when a lender becomes a part owner of a project in exchange for granting a loan. This is also known as an equity kicker.

A more thorough explanation:

Equity participation refers to the practice of including a lender in the ownership of a project as a requirement for the lender to grant a loan. This is also known as an equity kicker.

For example, if a company wants to build a new factory but does not have enough funds to do so, they may seek a loan from a bank. The bank may agree to provide the loan, but only if they are given a percentage of ownership in the factory. This means that the bank will share in the profits and losses of the factory, in addition to receiving interest on the loan.

Another example could be a real estate developer who wants to build a new apartment complex. They may seek a loan from an investor, who agrees to provide the funds but only if they are given a percentage of ownership in the complex. This means that the investor will share in the rental income and any profits from the sale of the complex.

These examples illustrate how equity participation works in practice. By including a lender in the ownership of a project, the lender has a vested interest in the success of the project and is more likely to provide the necessary funds. It also allows the borrower to access funds that they may not have been able to obtain otherwise.

equity-of-the-statute rule | equity pleading

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HopefullyInLawSchool
16:06
it means you will not be rejected today and may be accepted or WL in the future
Just got my Michigan rejection
BookwormBroker
16:10
same
RoaldDahl
16:10
@HopefullyInLawSchool: what if i already got rejected. does it mean anything
HopefullyInLawSchool
16:12
@RoaldDahl: Likely not however it could mean nothing
RoaldDahl
16:15
So if it means nothing does that mean something?
HopefullyInLawSchool
16:17
Possibly
RoaldDahl
16:26
Cool
RoaldDahl
16:26
thank you!!!! i hope it means something
pinkandblue
16:31
fart
IrishDinosaur
16:36
Mich R gang lesgooo
Did anyone else get that random get to know nova email?
HopefullyInLawSchool
17:21
Ya it was sent to all YM applicants
starfishies
17:37
Anyone get the NDLS email inviting you to apply for something even though they haven’t made a decision on your app yet
17:38
Better yet I got the email and I was rejected last month
starfishies
17:38
Wtf
starfishies
17:39
and the deadline is in like a week what is this
any cardozo movement?
BatmanBeyond
18:01
Sent a LOCI via portal, but I'm wondering if email would have gotten me a swifter response
BatmanBeyond
18:02
This whole hold/wait-list/reserve system is a headache
loci already?
BatmanBeyond
18:09
If the odds are like 1-2% I don't think it matters much by the numbers
12:11
I got the same NDLS email
OrangeThing
12:18
I think the user profiles are broken
19:29
Any word out of Notre Dame?
19:29
Only the invitation to apply for LSE
19:29
Anyone received a decision from NDLS?
19:50
when did u guys apply that just heard from umich? they havent even glanced at my app yet
0:30
how am i supposed to spy on people when profile links are broken?
Right. Broken links smh
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