Definition: Intermediate-Term and Long-Term Financing

Intermediate-Term Financing:
"Term loan are bank or installation loans for the period in excess of one year but usually less than ten years. Most term loans nature under five years."
- Button & Conn


"Intermediate term financing generally is thought to include maturities of one to five years."
- James C. Van. Horne

"Intermediate financing ordinarily refer to loans that for more than one year often for up to five years and sometimes up to ten years."
- Guthman & Dougall


Long-Term Financing:
"The firm's evidence of long deletes in which it typically promise to pay the bondholder a specified number of dollar of interest over a specified period and to reply the loan at the end of that period."
- Bolton and Conn

Bond or Debenture:
"When the corporation borrows fund on a long-term basis, it issues a long-term promissory note called a bond, to the lender."
- L. D. Schall & C. W. Haley

Bond Indenture:
"Bond indenture is the legal agreement between the corporation issuing bonds and the bond holders."
- J. C. Van Home
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