Glossary

With over 200 terms in both English and French, our M&A Dictionary is designed to help you better understand the key words and concepts related to the sale oe purchase of a business in Canada.

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Discount for Lack of Liquidity

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The Discount for Lack of Liquidity (DLOL) refers to an amount or percentage deducted from the value of an ownership interest to reflect the relative absence of liquidity of the asset being considered in a transaction. DLOL reflects the relative inability to quickly convert assets into cash due to factors such as the size of the shares and shareholders’ regulation which limit the salability of the block of shares under consideration.

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Acronym:
DLOL

French Translation: