Facility

Dictionary Says

Definition of 'Facility'

A formal financial assistance program offered by a lending institution to help a company that requires operating capital. Types of facilities include overdraft services, deferred payment plans, lines of credit, revolving credit, term loans, letters of credit and swingline loans. A facility is essentially another name for a loan taken out by a company.

Investopedia Says

Investopedia explains 'Facility'

Facilities can be committed, meaning that they specify a precise amount of funds that will be provided, or uncommitted, meaning that the lender has not agreed to provide a specified amount of funding. Different types of facilities are available to meet different business needs, such as seasonal financing and the payment of creditors.

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Related Definitions

  1. Committed Facility

    A credit ...
  2. Line Of Credit - LOC

    An arrangement ...
  3. Swingline Loan

    A loan that ...
  4. Uncommitted Facility

    An agreement ...
  5. Credit Sleeve

    A form of credit ...
  6. Term Securities Lending Facility - TSLF

    A lending ...
  7. Bond for Bond Lending

    A lending ...
  8. Cash for Bond Lending

    A lending ...
  9. Boom

    A period of time ...
  10. Industry

    A classification ...

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