Soft Collateral definition
Soft Collateral means certain custom use collateral, intangible personal property, warranty, service or other contract rights, taxes paid or prepaid, and other items generally considered fungible or expendable.
Examples of Soft Collateral in a sentence
Depreciation can be financed as Soft Collateral as long as the amounts advanced do not exceed 30% of the outstanding balance of the facility, subject to Section 3(c) of the Loan Agreement.
Depreciation can be financed as Soft Collateral provided that the amount of such depreciation financed shall not exceed 30% of the outstanding balance of the Loan Line, subject to Section 3(c)(viii) below.