Here's some lending & data terminology you may come across.
We know finding the right working capital or aggregating robust CPG data can sound really complicated at times. That's why we've gathered a list of terms and concepts you may come across as you begin your journey with CircleUp.
3PL 3rd Party Logistics company which monitors inventory.
Asset-Based Loans Asset-based lending is any kind of lending secured by an asset.
Automated Clearing House
Spreading out loan payments over time.
Annual Percentage Rate
Availability Eligible amount of credit a borrower can request, tied to the borrowing base.
BBC Borrowing Base Calculation
The amount of funding (loan) a Borrower qualifies for at any given time.
Cash Burn How much cash the business is spending on a monthly basis.
COGS Cost of Goods Sold
Convertible Note Debt given by investors which converts into equity at a defined time rather than have interest and principal payouts.
CPLTD Current portion of long term debt, annual payments (principal + interest) on debt which is maturing in more than one year.
CSA Credit Security Agreement
Current Ratio Current assets/current liabilities
DACA Deposit Account Control Agreement
DIO Days Inventory Outstanding
DPO Days Payable Outstanding
DSO Days Sales Outstanding
EBITDA Earnings Before Interest Taxes Depreciation & Amortization
EMBB Eligibility Matrix / Borrowing Base
EOD Event of Default
Good Faith Deposit A deposit of money into an account by a buyer to show that they have the intention of completing a deal.
GPM Gross Profit Margin, Revenue minus Cost of Goods Sold.
Interest Rate Ceiling Maximum interest rate charged
Interest Rate Floor Minimum interest rate charged.
LG Limited Guarantee
London Interbank Offered Rate, pricing index which may be used instead of Prime.
A mechanism in which the lender collect a borrower’s A/R. The majority of asset-backed loans will have a structure where their A/R are redirected into the lockbox to pay down the loan.
Maturity The date on which the principal amount of a note, bond, or other debt is due.
Monthly Cash Burn Formula (EBITDA/Days in financial period) * 30 days
NSF Non sufficient funds.
Over-advance The amount of additional cash given to a borrower in excess of their eligible borrowing base.
Read-Only Access Online Bank Account Access to view cash balances.
Runway Measured in Months, shows how much time the business has until they run out of cash.
Spread over Prime The additional amount charged above the Prime Rate to determine the interest rate.
Term Sheet Investment agreements and terms given by prospective investors.
TTM Trailing 12 months (TTM) is a term used to describe the past 12 consecutive months of a company’s performance data, that’s used for reporting financial figures.
UCC Lien First priority lien filing on a Borrower’s assets.
Utilization Current balance/Maximum possible outstanding balance in a rolling 90 days period.
VG Validity Guarantee
Helio Data Glossary
Brand name Commercial name used in brand’s packaging and product descriptions.
Brand URL Unique URL linked to each brand.
Year founded The year brand was founded.
Corporate ownership Predicted brand ownership structure.
Revenue estimate Probabilistic estimate of total brand sales (online and offline); displayed as a range
HGP dimension -Aggregate score Prediction for how likely a brand is to grow total revenue in the next 12 months relative to other brands in the same parent category.
Parent category Name of product category.
Primary category Name of product sub-category.
Number of products Count of different SKUs sold by a brand.
Price Average retail price by SKU, available for both online and offline sources.
Product images Color images of product packaging and ingredient information.
Ingredient list List of product ingredients by SKU.
Brand attributes Keywords that reflect how the brand describes itself across its website, social media, and product descriptions; aggregated at the brand level.
Consumer attributes Most commonly occurring positive and negative keywords from online reviews of a brand’s products; aggregated at the brand level.
Retail sales Total sales by individual retailer location, down to SKU-level; can be aggregated to channel level as well.
Retail doors Count of individual locations, by retailer, where a product is sold.
End caps By individual retailer location, number of product end caps.
Velocity Dollars per store per week, indexed to the category benchmark.
HGP dimension -Offline sales Prediction for how likely a brand is to grow retail sales in the next 12 months relative to other brands in the same parent category.
HGP dimension -Offline distribution Prediction for how likely a brand is to grow store count in the next 12 months relative to other brands in the same parent category.
Social media - followers Count of total followers across a brand’s social media pages.
Social media - likes Count of total likes across a brand’s social media pages.
Social media - comments Count of total comments across a brand’s social media pages.
Review text Text for each product review provided by consumers.
Review rating Average consumer star review rating for product reviews (scale of 1-5).
HGP Dimension -Online following Prediction for how likely a brand is to grow social media following in the next 12 months relative to other brands in the same parent category.
HGP Dimension -Online engagement Prediction for how likely a brand is to grow total number of reviews in the next 12 months relative to other brands in the same parent category.
Total website traffic Total monthly average website visitors (paid and unpaid).
Organic website traffic Unpaid monthly average web visitors.
Paid website traffic Paid monthly average web visitors.
HGP Dimension -Online interest Prediction for how likely a brand is to grow web traffic in the next 12 months relative to other brands in the same parent category.