Near bank A credit union, caisse populaire, or trust company. These institutions may not borrow from the Bank of Canada, though they perform the usual financial services of all banks.

Negative covenant An undertaking not to do certain things. It is frequently argued that negative covenants are preferable to positive covenants because it is easier to establish if something which was not to have been done has in fact been done, rather than vice versa. The breaking of a covenant usually constitutes a default which in turn gives rise to certain specified remedies which can be taken by the security holder.

Negotiating The act of reaching an agreement through bargaining.

Net The amount that is left of a gross amount after deduction of expenses or debts. For example, the net working capital is the total current assets after deductions of the total current liabilities.

Net lease Signifies a property lease where a lessee/tenant is responsible for all costs such as taxes, heat, light, power, insurance, and maintenance.

Net worth The value of a business represented by the excess of the total assets over the total amounts owing to outside creditors (total liabilities) at a given moment in time. Also referred to as book value. Also, the net worth of an individual as determined by deducting the amount of all personal liabilities from the total value of personal assets.