Covenant
A promise to do something or not do something before or after closing. Why it matters: This gives owners a clearer way to understand buyer questions, advisor comments, and negotiation tradeoffs during a sale process.
Also used in Financing and Debt Terms: A lender rule the borrower must follow, such as keeping enough cash flow. Why it matters: This gives owners a clearer way to understand buyer questions, advisor comments, and negotiation tradeoffs during a sale process.