Project Notes

AAA

DEFINITION of 'Project Notes'

A short-term debt obligation issued to finance a project or endeavor past a specified milestone, or to fund multiple small projects on a short-term basis. Project notes are often used by municipalities to fund urban renewal programs and are guaranteed by the U.S Department of Housing and Urban Development.

INVESTOPEDIA EXPLAINS 'Project Notes'

Occasionally, organizations need funding for short-term projects that require one-time injections of cash to finance. Rather than issue long-term debt or seek alternative financing arrangements, short-term notes can be issued with the specific project written into the indenture so that the funds must be used for that purpose.

RELATED TERMS
  1. Indenture

    A legal and binding contract between a bond issuer and the bondholders. ...
  2. Commercial Paper

    An unsecured, short-term debt instrument issued by a corporation, ...
  3. Debt Financing

    When a firm raises money for working capital or capital expenditures ...
  4. Municipal Bond

    A debt security issued by a state, municipality or county to ...
  5. Money Market

    A segment of the financial market in which financial instruments ...
  6. Project Finance

    Defined by the International Project Finance Association (IPFA) ...
Related Articles
  1. Weighing The Tax Benefits Of Municipal ...
    Taxes

    Weighing The Tax Benefits Of Municipal ...

  2. I have a short period of time (1 year ...
    Options & Futures

    I have a short period of time (1 year ...

  3. The Money Market
    Retirement

    The Money Market

  4. Projected Returns: Honing The Craft
    Retirement

    Projected Returns: Honing The Craft

comments powered by Disqus
Hot Definitions
  1. Harvest Strategy

    A strategy in which investment in a particular line of business is reduced or eliminated because the revenue brought in by ...
  2. Stop-Limit Order

    An order placed with a broker that combines the features of stop order with those of a limit order. A stop-limit order will ...
  3. Pareto Principle

    A principle, named after economist Vilfredo Pareto, that specifies an unequal relationship between inputs and outputs. The ...
  4. Pareto Principle

    A principle, named after economist Vilfredo Pareto, that specifies an unequal relationship between inputs and outputs. The ...
  5. Budget Deficit

    A status of financial health in which expenditures exceed revenue. The term "budget deficit" is most commonly used to refer ...
  6. Floating Exchange Rate

    A country's exchange rate regime where its currency is set by the foreign-exchange market through supply and demand for that ...
Trading Center