Certificate of Participation - COP


DEFINITION of 'Certificate of Participation - COP'

A type of financing where an investor purchases a share of the lease revenues of a program rather than the bond being secured by those revenues.

BREAKING DOWN 'Certificate of Participation - COP'

The authority usually uses the proceeds to construct a facility that is leased to the municipality, releasing the municipality from restrictions on the amount of debt that they can incur.

  1. Revenue

    The amount of money that a company actually receives during a ...
  2. Owner Financing

    When a property buyer finances the purchase directly through ...
  3. Lease

    A legal document outlining the terms under which one party agrees ...
  4. Financing

    The act of providing funds for business activities, making purchases ...
  5. Off-Balance-Sheet Financing

    A form of financing in which large capital expenditures are kept ...
  6. Ex Works (EXW)

    An international trade term requiring the seller to make goods ...
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