Cash ratio

The cash ratio is the percentage of money that a financial entity maintains in its liquid reserves in the Central Bank (BC) of its country. It is also known as bank reserve ratio, reserve ratio, reserve rate or bank reserve .  When talking about economics and finance, the term cash ratio is used to define the legal cash … Read more

SWIFT or BIC code

The SWIFT code (of the Society for Worldwide Interbank Financial Telecommunications), also known as BIC (bank identifier code), is a unique code used to identify each of the credit institutions that exist in the world. This code provides information about a specific bank and the region in which the account is located. It is a very … Read more

Exchange coverage

The cover exchange is a mechanism that allows the investor or company protect itself from the volatility of currency . For this, a future transaction is carried out, setting the price of the currency here. In English it is known as currency hedge. The objective of this kind of financial coverage is to guarantee the acquisition of a currency at a previously agreed rate. Thus, even if … Read more

Economic cluster

An economic cluster is a concentration of companies and institutions that are grouped around a common activity and in a certain locality. In this way, they seek to achieve a high rate of profit and efficiency. That is, a cluster is a set of organizations that are linked to the same business and decide to develop in a single geographical space. Types … Read more

Potential client

A potential customer is a person who could become a buyer or consumer of the products offered by a company. Of course, every company , large or small, needs its customers, because customers buy their products and this allows them to generate income and of course profits. Consequently, potential customers are very important for any company, since … Read more

Regular client

A frequent customer is the person who buys regularly and repeatedly because he is satisfied with the goods and services offered by the company. For every company, keeping the frequent customer is very important because they are customers that keep the sales level of the companies stable, as well as their income. In addition, companies know that it … Read more