loss of profit

Loss of profit refers to the financial gain a business misses out on due to certain events or circumstances. It happens when a company’s operations are disrupted, or it loses a customer or opportunity, resulting in less revenue than it would have earned otherwise. In legal or insurance contexts, it compensates the business for this missed income, covering the difference between expected profit and actual profit during the affected period. Essentially, it’s a way to measure and recover the earnings a business could have achieved had the incident not occurred.