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Exit Planning
- Day Zero Guide
- Aha Planner
The Grid

A California based company on a mission to grow the wealth of everyday Americans. Zolidar is the easy button for employee ownership.

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Definition of External Loan on The Grid Glossary

External Loan

Published on 2024-08-14 | Last edited on 2024-08-15

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Definition

In an ESOP or EOT transaction, the external loan is between the company and the selling shareholder; also, between the company and a financial lender, such as a bank, in externally financed transactions. The external loan is often reloaned as an internal loan to the Trust.

#Internal Loan

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