Define: Warrant

UK Accounting Glossary

Definition: Warrant


Quick Summary of Warrant


A security that offers the owner the right to subscribe to the ordinary shares of a company at a fixed date, usually for a fixed price. (or) A document that serves as confirmation that goods have been deposited in a public warehouse.



What is the dictionary definition of Warrant?

Dictionary Definition


  • A share warrant is a security that offers the owner the right to subscribe to the ordinary shares of a company at a fixed date, usually for a fixed price. Warrants are themselves bought and sold on stock exchanges and are the equivalent of stock options. Subscription prices typically exceed the market price, as the purchase of a warrant is a gamble that a company will perform well. Share warrants have proved increasingly popular in recent years, as they can be used by a company without being including in the balance sheet.
  • A document that serves as confirmation that goods have been deposited in a public warehouse. The document specifies specific goods and may be transferred by endorsement. Warrants are frequently used as a form of security against a bank loan.

Warehouse warrants for warehouses attached to a wharf are known as wharfinger’s warrants or dock warrants.


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Warrant. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. https://payrollheaven.com/define/warrant/ (accessed: July 16, 2019).
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Warrant. PayrollHeaven.com. Retrieved July 16, 2019, from PayrollHeaven.com website: https://payrollheaven.com/define/warrant/

Definition Sources


Definitions for Warrant are sourced/syndicated from:

  • Oxford Dictionary Of Economics
  • BusinessDictionary.com
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 5th May 2019.