Revenue Objectives Int'l., LLC.

 Glossary of Terms

Additional Insured- Extends insurance coverage to a business entity other than the one

named as insured.

Articles of Incorporation- A document that must filed with a state in order to

incorporate. Among the things it must include are the name and address of the

corporation, its general purpose, and the number and type of shares of stock to be issued.

Assignee- A person or entity to which an assignment of right or property has been made.

Assignment Lease- An originating broker is identified as and acts as the lessor of the

equipment, and assigns an interest in the lease payments and equipment to JMV

Associates.

Assignor- A person or entity that has made an assignment of right or property.

Balance Sheet- A statement of assets and liabilities for a given date in time.

Bill of Sale- Passes a title from a seller to a buyer. It is used when a seller is conducting a

transaction outside the normal course of business.

Client- The person that is leasing of financing the equipment.

Contact- A person or business phone number, e-mail address, or fax number.

Customer- The person or business that sells the equipment.

Corporation- A fictitious legal entity/person which has rights and duties independent of

the rights and duties of the real persons, and which is legally authorized to act in its own

name through duly appointed agents. It is owned by shareholders. Usually created under

the authority of state law.

Discounted Lease- An arrangement whereby one party purchases an interest in the

remaining stream of payments of lease. The purchaser is granted a security interest rather

than title to the equipment.

Fair Market Value- The price that a buyer could reasonably be expected to pay and a

seller could reasonably be expected to accept, if personal property were for sale for a

reasonable period of time, with both buyer and seller being in possession of all pertinent

facts.

General Partner- One of two kinds of partners in limited partnership. Is responsible for

managing the entity and has unlimited personal liability for its depts...

General Partnership- A business entity that is composed of two or more partners. The

acts of each partner fully bind the firm. Each partner is liable for any dept, and the

personal assets of any porters may be used to satisfy business obligations.

Guaranty- A commitment by an individual or a separate business entity to assume

another’s dept in the event of default.

Invoice- An itemized bill that lists equipment or services rendered and requests payment.

Payment of invoice title to the buyer.

Lead- A person or business that the leasing entity has made contact with, and sent an

application package to.

Lessee- A person or business entity contracting for the use of equipment for specified

period of time and paying for that use in the form of rental payments.

Lessor- Legal owner of equipment being leased to a lessee for rental payments.

Liability Insurance- Coverage to protest an insured against loss and damage to property

and persons.

Limited Partner- One of two kinds of partners in a limited partnership. Is personally

liable for the depts. Of the partnership only to extent of his/her investment, and has little

to no voice in its management.

Limited Partnership- A partnership with two kinds of partners: Limited partners, who

provide financial backing and have little role in management and no personal liability;

and general partners, who are responsible for managing the entity and have unlimited

personal liability for its depts...

Loss Payee-The named party who will receive reimbursement if loss or damage occurs

under property damage insurance policy.

Mortgagee- The person who pledges property; A debtor or borrower who makes a

mortgage.

Personal Property- All property that is not real property or permanently attached to real

property.

Power of Attorney- An instrument by which one person authorizes another to act for

him in a manner which is as legally binding upon the person giving such authority as if

he personally were to do acts.

Proforma Invoice- A document prepared by a vendor outlining the proposed equipment,

cost, and any other information with regard to a pending sale; this is not acceptable as an

invoice.

Proprietorship- A business owned and operated by single individual. Also referred at as

sole proprietorship.

Prospects- A person or business that sends applications to the leasing entity, a person or

business that the leasing entity has established a good relationship with. The person or

business leasing entity that has been sent an information packet. (Our customer).

Put Agreement- An agreement between a lessor and a lessee where the lessee commits

to purchase leased equipment at the end of the lease term, and guarantees payment of

stated residual value. Lessee waives the right to return the equipment to lessor.

Real Property- Land and property permanently attached to the land; such as houses,

fences, buildings. Any improvement to the real estate becomes part of the real property.

Resale Number- A number issued by state agency authorizing a business to collect sales

tax from sales or products or services. The number may also be used in tax exempt

situations whereby the purchaser assumes the tax liability of the sale and relieves the

seller of same.

Residual- The value of the leased equipment after the term of the lease has expired.

Sales Order- An order for equipment between vendor and purchaser. It is only an order

for equipment, and does not pass title to the purchaser.

Sales Tax- Tax levied by the state, city, and/or county in which the equipment is to be

located. It may be assessed “up front”, based on either the cost of goods or the cost of the

contract; or “monthly”, based on the monthly lease rental payment.

Secured Party- The individual or entity holding title to or a security interest in assets in

possession of another.

Security Agreement- A legal document in which the borrower grants a security interest

in specified assets as guaranty of prompt payment.

Vendor- Person or business that sales equipment. Person or business that sends

applications to leaser, must have five or more customers to be a vendor.

Yield- The percentage of return on investment.