MidMarketWiki - Alphabetical

A person or legal entity, such as a company or trust fund, that meets certain net worth and income qualifications and is considered to be sufficiently sophisticated to make investment decisions in complex situations. Regulation D of the Securities Act of 1933 exempts accredited investors from protection under the Securities Act. Typical qualifications for a person are: $1 million net worth and annual income exceeding $200,000 individually or $300,000 with a spouse. Directors and executive officers are considered to be accredited investors.

The purchase of one company by another, or the attainment of controlling interest through an accumulation of shares.

See Net Operating Income after taxes

A class of investments that includes private equity, real estate, and oil and gas, but excludes publicly traded securities. Pension plans, college endowments, and other relatively large institutional investors typically allocate a certain percentage of their investments to alternative assets with an objective to diversify their portfolios.

A wealthy individual that invests in companies in relatively early stages of development. Usually angels invest less than $1 million per startup. The typical angel-financed startup is in concept or product development phase.

A contract clause that protects an investor from a substantial reduction in percentage ownership in a company due to the issuance by the company of additional shares to other entities. The mechanism for making adjustments is called a Ratchet.

(Verb) The act or process of developing an opinion of value; an opinion of value. (Adjective) Of or pertaining to appraising and related functions - e.g., appraisal practice, appraisal services.

The act or process of developing an analysis, recommendation, or opinion to solve a problem where an opinion of value is a component of the analysis leading to the assignment results.

An appraisal, consulting, or review service provided as a consequence of an agreement between a Valuator and a client.

That which is taken to be true.