A prospect is an organization or potential client who resembles a seller's Ideal customer profile (ICP), but has not yet expressed interest in their products or services; accordingly a qualified lead is an organization or potential client which has expressed interest in the products or services of the seller.
Most sales professionals apply their own unique set of criteria in order to determine whether a prospect is actually "qualified."
In general terms, sales professionals need to know a set of discrete data in order to determine whether or not the "prospect" will become qualified.
These variables may include: business needs, authorization to transact business (financial or operational), money or budget and an "economic buyer" or in other words, who would benefit the most (or lose the most) if the good or service were to be acquired (or not acquired).
These objections are a chance to explain the value of the product or service to try to qualify the prospect and close the sale.