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Finance Glossary

Just call us Bond. Amortized bond.

Over 700 finance terms, Shmooped to perfection.

Entity

Definition:

Thing. That's what it means. Really.

So what does it have to do with finances? Well, it gets used in contracts a lot—basically anytime legalese makes an appearance. For example, "business entity" is used when describing what kind of business a person is setting up (corporation? non-profit?). It can also be used when describing a separate part of a business (a division or department).

So yeah, it's a weird entity.