Lina Barfoot
Lina Barfoot Editor at SavvySME

What does the term mezzanine finance mean?

I've heard the term mezzanine finance, but I'm not sure what it means or where it might be applicable?

Deborah Vella

Deborah Vella at

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Mezzanine finance is a type of finance that is part debt and part equity. Essentially, if the debt is not able to be repaid, then the financier has rights to part of the equity in your business or project.