Mechanics
Borrowing base
status: draft
The live formula that determines how much you can borrow against eligible assets in a warehouse or revolving facility.
What to watch
The borrowing base is where eligibility, reserves, concentration limits, and advance rates become actual dollars available to draw.
Referenced in 97 topics
ABF vs. traditional lending (when ABF makes sense, when it doesn't) foundations Accounts and cash management mechanics Administration agreement documentation Advance rates and the borrowing base mechanics Advanced waterfall mechanics mechanics Aircraft leases asset-classes Amendments and waivers lifecycle-events Back leverage (provider perspective) capital-sources Back leverage and fund financing playbooks Bank regulatory considerations legal BNPL receivables asset-classes Borrowing base certificate operations-lifecycle Borrowing base mechanics mechanics Breaking into ABF playbooks Bridge / fix-and-flip asset-classes Building an ABF team playbooks Calculation agents and data agents counterparties Careers at banks playbooks Careers at originators playbooks Cash operations and waterfall execution operations-lifecycle Cell tower and data center ABS (digital infrastructure) asset-classes Choosing the right structure playbooks Collateral analysis accounting-valuation Collateral analytics checklist appendix Common negotiation mistakes playbooks Conduit and ABCP programs structures Container leases asset-classes Covenant compliance monitoring operations-lifecycle Covenant cures and waivers mechanics Covenants mechanics Credit agreement and indenture documentation Credit funds and private capital capital-sources Data and analytics infrastructure operations-lifecycle Data validation and quality accounting-valuation Distressed market playbook market-landscape Document coordination documentation Documentation negotiation playbooks Due diligence question bank documentation Evaluating portfolio quality and performance playbooks Family offices as ABF capital providers playbooks Financing progression roadmap playbooks Finding the right capital partner playbooks Healthcare receivables asset-classes Investor portals and integration operations-lifecycle Law firm finance asset-classes Legal opinions and third-party reports documentation Litigation finance asset-classes Loan management systems operations-lifecycle Managing legal costs playbooks Managing multiple facilities playbooks NAV facilities and subscription lines structures Navigating the deal process playbooks Negative and affirmative covenants mechanics Ongoing portfolio management operations-lifecycle Ongoing portfolio management (capital provider) playbooks Ongoing reporting and surveillance operations-lifecycle Performance triggers mechanics Personal / unsecured consumer loans asset-classes Pool formation and onboarding operations-lifecycle Portfolio covenants mechanics Portfolio financing asset-classes Preparing your data room playbooks Reporting requirements operations-lifecycle Revenue-based financing asset-classes Revolving, prefunding, and reinvestment mechanics Sale and contribution agreement documentation Sample term sheet (annotated) appendix Sample waterfall appendix Security and pledge agreements documentation Selecting a fund administrator playbooks Servicer responsibilities counterparties Servicing covenants mechanics Single-family rental (SFR) asset-classes Small business loans (including SBA 7(a)) asset-classes Sourcing capital for your portfolio playbooks Sourcing capital for your portfolio playbooks Stratification analysis accounting-valuation Structural tests (OC/IC) mechanics Student loans (federal and private) asset-classes Subscription finance / capital call lines structures Technology and infrastructure operations-lifecycle Term sheet anatomy documentation The ABF ecosystem (players, roles, and how they interact) foundations The waterfall mechanics Trade receivables and supply chain finance asset-classes Transaction agreements documentation Treasury management for multi-facility originators playbooks Triggers, tests, and performance events mechanics Understanding back leverage (LP perspective) playbooks Understanding deal fees playbooks Upsizing and facility expansion lifecycle-events Warehouse facilities structures Wind-down lifecycle-events Working with accountants and auditors playbooks Working with credit funds playbooks Workouts, restructuring, and enforcement lifecycle-events Your loan tape: what lenders actually look at playbooks