Although reliance on loan finance has to an extent been reduced by the growth of the capital markets, loan finance remains a key component of corporate finance in most countries.
This can be provided either intra-group from related trading or finance companies or from external financing vehicles, whether or not they are connected to the borrower. This section gives an overview of (i) the types of loan finance available and (ii) loan documentation. It is not specific to UK companies, however, and sections specify whether they relate to UK matters. The pdf below links to an extract from the ACT’s International Treasurer’s Handbook 2007. Further information on loan finance is available in the ACT’s "Guide To The Loan Market Association Documentation For Investment-Grade Borrowers", a document that is updated from time to time to reflect market developments. This, and additional resources on loan finance, are available at Loan documentation.
