Definition
A Single Purpose Vehicle (SPV) is a separate legal entity created by a parent company to isolate financial risk, particularly used in securing investments or loans for specific projects. It helps manage risk and segregate assets from the main company.
Frequently asked questions
What is a single purpose SPV?
A single-purpose SPV (Special Purpose Vehicle) is a legal entity created for one specific project or transaction to separate and manage financial risks.
Is an SPV a separate legal entity?
Yes, a Special Purpose Vehicle (SPV) is a distinct legal entity created to isolate financial risk from the parent company.
What does SPV mean in business?
SPV, or Special Purpose Vehicle, is a separate entity created for a particular financial transaction or project.