Debentures
It is a document evidencing indebtedness which is secured or unsecured.
This is acknowledgement of indebtedness it is evidenced that a company is indebted Edmunds V. Blaing Co. Debenture includes:
Debenture Stock:
• It is transferable in whole.
• This is a loan fund created by a company. It is divisible among a class of lenders each of whom is given a debenture stock certificate specifying the part a creditor is entitled to.
• It is the indebtedness itself and the certificate evidences the stockholders interest.
• Debenture stock can be divided and transferred in fractions.
• It is created by a trust deed.