What is a best effort basis?
Best effort basis is an agreement that something will be attempted without any guarantee provided that it will succeed. The term implies use of an improvised approach and extraordinary efforts in the context of challenging conditions or constraints.
What does best efforts mean in finance?
The term best efforts refers to an agreement made by a service provider to do whatever it takes to fulfill the requirements of a contract. In finance, an underwriter makes a best efforts or good faith promise to the issuer to sell as much of their securities offering as possible.
Which of the following best describes a best efforts underwriting commitment quizlet?
Answer: Best efforts underwriting commitment is an agreement that is legal which is in between the security issuer and the security underwriter, and the underwriter agrees to do the best that it can do to sell as many securities as possible of the issuer to the public.
What is the difference between firm commitment and best efforts?
Firm commitment means the investment banks commit to buy all the shares offered by the company in an IPO and sell them in the stock market. In best efforts, the Investment bank tries to sell as many shares as possible in the IPO. All in all out the company either sells all shares in an IPO or none.
What is best-effort service?
A best-effort service refers to an Internet delivery service where the provider does not give any guarantees on when the data will be delivered or the quality of that data when it is delivered.
What is meant by best-effort delivery?
Best-effort delivery describes a network service in which the network does not provide any guarantee that data is delivered or that delivery meets any quality of service. In a best-effort network, all users obtain best-effort service.
What does best reasonable efforts mean in a contract?
Best Reasonable Efforts means the diligent, good faith efforts that a reasonably prudent Person desirous of achieving a result in an economically reasonable manner would use in similar circumstances to achieve the desired result.
What are best commercial efforts?
Best Commercial Efforts means documented efforts that are consistent with those utilized by companies of similar size and type that have successfully developed and brought to market products and services similar to Licensed Products and Licensed Processes.
Which of the following best describes a best efforts underwriting?
We are asked a question as to what describes the best efforts of underwriting commitment. The correct answer will be a 'best efforts underwriting agreement'. The underwriter commits to selling as much of the issue as possible at the agreed-on offering price.
What does underwriting mean in insurance?
Underwriting is the process insurers use to determine the risks of insuring your small business. It involves the insurance company determining whether your firm poses an acceptable risk and, if it does, calculating a fair price for your coverage.
What are best efforts syndication?
Best Efforts Syndication (Banking & Finance Glossary) The Arranger(s) uses its “commercially reasonable efforts” to syndicate the loan to Lenders, but does not commit to fund the entire loan amount. The Arrangers instead agree to fund a portion of the loan amount requested by the Borrower.
How do you use best effort in a sentence?
The time pressure was indeed stringent enough because, in spite of their best effort, nine participants still had 2 – 5 sentences to correct when time was up. Secondly, is the best effort being made to put forward an organisation of war production at home? I shall certainly see that every best effort is made.
What best efforts mean?
“Best efforts” is at the top of the scale and is generally perceived to mean that a party must do all that can possibly be done to seek and obtain an end, even if the impact would be materially adverse to the seeking party and even if there is a material monetary cost to the action.
What is best-effort communication?
Best effort refers to a network service that attempts to deliver messages to their intended destinations but which does not provide any special features that retransmit corrupted or lost packets. Thus, there are no guarantees regarding delivery. An analogy can be made to the postal service.
Is best effort a legal term?
Best efforts is a contractual term used to obligate the parties to make their best attempt to accomplish a goal, typically used when there is uncertainty about the ability to meet the goal.
What are commercial efforts?
Best Commercial Efforts means the exertion on a substantially continuous basis of efforts as would normally be devoted to the applicable task by commercial parties with similar resources to those of the applicable party, where such parties are highly motivated to accomplish such task to the maximum extent practicable, …
Which of the following provides the best definition of underwriting?
Which of the following provides the best definition of underwriting? When an investment dealer or a group of investment dealers purchase the securities from a firm and market them to the public. You just studied 50 terms! 1/50.
What is underwriting in merchant banking?
Underwriting. Underwriting is an agreement, entered by a company with a financial agency, in order to ensure. that the public will subscribe for the entire issue of shares or debentures made by the company.
What underwriting means?
Underwriting simply means that your lender verifies your income, assets, debt and property details in order to issue final approval for your loan. An underwriter is a financial expert who takes a look at your finances and assesses how much risk a lender will take on if they decide to give you a loan.
What underwriter means?
An underwriter is any party that evaluates and assumes another party's risk for payment. Underwriters work in many areas of finance, from the insurance industry to mortgage lending. Underwriters determine the level of the risk for lenders.
What type of loan can be syndicated?
There are four main types of syndicated loan facilities: a revolving credit; a term loan; an L/C; and an acquisition or equipment line (a delayed-draw term loan). A revolving credit line allows borrowers to draw down, repay and reborrow as often as necessary.
What is meant by syndicated loan?
A syndicated loan is a substantial loan provided to a large borrower ($1 million or more) by several lenders together. Each lender in the lending group (syndicate) provides part of the total amount and shares part of the lending risk.
How do you say best efforts?
WORDS RELATED TO BEST EFFORT
- all one's got.
- best effort.
- best one can do.
- maximum effort.
- one's all.
- one's damndest.
- optimum effort.
What does best-effort support mean?
The ICT Service defines "best effort" as a reasonable response to a support request that can be achieved within the context of the standard hardware and software technology available.
Why is it called underwriting?
The term underwriter originated from the practice of having each risk-taker write their name under the total amount of risk they were willing to accept for a specified premium. Although the mechanics have changed over time, underwriting continues today as a key function in the financial world.
What does it mean to underwrite a performance?
(ʌndərraɪt ) Word forms: underwrites, underwriting, underwrote, underwritten. transitive verb. If an institution or company underwrites an activity or underwrites the cost of it, they agree to provide any money that is needed to cover losses or buy special equipment, often for an agreed-upon fee. (business)
What is an underwritten public offering?
Underwritten Public Offering means a public offering in which the Common Stock is offered and sold on a firm commitment basis through one or more underwriters, all pursuant to an underwriting agreement to which I/O and the underwriters, among others, are parties.
What is best effort syndication?
Best Efforts Syndication (Banking & Finance Glossary) The Arranger(s) uses its “commercially reasonable efforts” to syndicate the loan to Lenders, but does not commit to fund the entire loan amount. The Arrangers instead agree to fund a portion of the loan amount requested by the Borrower.
Whats syndicated mean?
1 : an act or instance of forming a syndicate or bringing something under the control of a syndicate real estate syndication. 2a : the act of selling something (such as a newspaper column or television series) for publication or broadcast to multiple newspapers, periodicals, websites, stations, etc.
What is the meaning of project finance?
Project finance is the funding (financing) of long-term infrastructure, industrial projects, and public services using a non-recourse or limited recourse financial structure. The debt and equity used to finance the project are paid back from the cash flow generated by the project.