Skip to content
SWB
DGeneralUpdated 2 Nov 2026

Debenture

Unsecured debt instrument backed only by the creditworthiness of the issuer.

Definition

Debenture is the unsecured debt instrument backed only by the creditworthiness of the issuer. 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.

Share

In the room

How the word shows up in a real conversation.

A mentor asks, “What is your Debenture?” The useful answer is concrete: unsecured debt instrument backed only by the creditworthiness of the issuer. A slide title is not an answer.

Common mistake

Using Debenture 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

Research more

Open the word in an AI tool with a ready prompt. We do not send your data.

Get one word every week

A 3-minute read: 1 word, 1 founder lesson, 1 tool.

Free. One email a week. Unsubscribe in one click.

Keep reading

Every startup word, in one place

Stay on the General shelf, or go back to the full book.