§ 53A-37. Definitions. - North Carolina Statutes

§53A‑37.  Definitions.

The following definitionsapply in this Article:

(1)        Business.  Acorporation, partnership, association, or sole proprietorship operated forprofit.

(2)        Equity security. Common stock, preferred stock, an interest in a partnership, subordinated debt,or a warrant that is convertible into, or entitles the holder to receive uponits exercise, common stock, preferred stock, or an interest in a partnership.

(3)        Mezzanine finance. An investment in the equity securities or subordinated debt of a QualifiedNorth Carolina Business.

(4)        Qualified NorthCarolina Business.  A business whose headquarters and principal businessoperations are located in North Carolina and which, together with itsaffiliates on a consolidated basis, had gross income during the immediatelypreceding fiscal year, determined in accordance with generally acceptedaccounting principles without taking into account extraordinary items, of lessthan forty million dollars ($40,000,000).

(5)        Rural areas.  Anycounty in North Carolina which does not include within its boundaries a city,as defined by G.S. 160A‑1(2), with a population greater than one percent(1%) of the population of North Carolina.

(6)        Security.  Asecurity as defined in G.S. 78A‑2(11).

(7)        Subordinated debt. Indebtedness that is or will be subordinated to other indebtedness of theissuer. Subordinated debt may be convertible into common stock, preferredstock, or an interest in a partnership.

(8)        TraditionalFinancial Institutions.  Corporations or associations chartered under Chapters53 or 54B of the General Statutes. (1987 (Reg. Sess., 1988), c.882, s. 1.)