Debt

Debt is that which is owed usually referencing assets owed, but the term can cover other obligations. In the case of assets, debt is a way of acquiring power in the present before a summation has been earned. Some companies and corporations use debt as a part of their overall corporate finance strategy.

A debt is formed when a creditor agrees to loan a sum of assets to a debtor. In modern society, debt is usually granted with expected repayment; in many cases, plus interest. Historically, debt was responsible for the creation of indentured servants.