Note Receivable
/ˈnoʊt rɪˈsiːvəbəl/
Definitions
- (n.) A written promise for the payment of a specific sum of money, usually including interest, due by a debtor to a creditor on demand or at a set time.
The company recorded a note receivable from its client due in 90 days.
Forms
- note receivable
- notes receivable
Related terms
See also
Commentary
Notes receivable are formalized debt instruments distinguished from accounts receivable by their written promise and potential for interest; ensure clarity in distinguishing these in contracts and financial statements.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.