Non-recourse financing - How To Discuss
Non-recourse financing,
Definition of Non-recourse financing:
Project financing: Where the only source of repayment of the project loan is the projects cash flow, and the collateral securing the loan, if any.
Factoring: Where a factor assumes the risk of non-payment by any debtor.
Agricultural financing: Where a lender cannot claim loan amount from a borrower in the event the crop pledged as collateral fails or is insufficient for full repayment. Such loans are usually guaranteed under a government scheme.
Dealer financing: Where the liability of a dealer is limited to guaranteeing the genuineness of a document (such as a vehicles title). The dealer is not liable to the lender if the buyer fails to pay the loan.
Export financing: Where an exporter is paid against an export invoice, but is not liable for the amounts repayment if the importer fails to pay.
Meaning of Non-recourse financing & Non-recourse financing Definition
