loan

Vocabulary Word

Definition

'Loan' is something, often money, given temporarily with the agreement that it will be returned, usually with interest. Just like when a bank gives you money to buy a house, but you have to pay them back plus a little extra.

Examples in Different Contexts

For social enterprises, a 'loan' can facilitate the implementation of impactful projects. A director of a social enterprise might emphasize, 'Access to loans empowers us to initiate and sustain projects aimed at addressing pressing social and environmental challenges.'

Practice Scenarios

Business

Scenario:

With the recent downturn in sales, we may need to look at external funding options to keep our cash flow healthy.

Response:

I agree, securing a loan might be the best option to maintain our operations and cash flow.

Technology

Scenario:

Our current costs are overtaking our revenue streams, especially in the research and development department. We need to find a solution.

Response:

Taking a loan for the upcoming tech upgrades seems to be a sensible choice under the circumstances.