Definition
Commercial paper is the short-term unsecured debt instrument issued by corporations for financing. Founders reach for it when a vague conversation needs a shared, specific meaning. Name it clearly, then let the next decision — a hire, a price, a test, or a pass — follow from that meaning.
In the room
How the word shows up in a real conversation.
Two cofounders disagree until they define Commercial paper. Once they agree it means “Short-term unsecured debt instrument issued by corporations for financing”, the argument becomes a decision.
Common mistake
Using Commercial paper as a label instead of a fact. If you cannot point to the evidence — a number, a customer, or a written assumption — you are using the word as jargon.
See also
Commercial bank
Financial institution that provides banking services to businesses and individuals.
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Combinatorial auction
Auction format where bidders can place bids on combinations of items.
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Commission
Fee paid to salespeople or agents based on sales performance.
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Commitment fee
Fee charged by lenders for keeping a credit line available to borrowers.
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