Collateral is an asset or property that a borrower pledges to secure a loan. This asset serves as a form of security for the lender, assuring them that the borrower will repay the loan as agreed. Should the borrower default on their payments, the lender can claim the collateral to recover their losses.
At DreamSpring, we’re dedicated to helping our clients make informed financial decisions. Incorporating collateral into your financial strategy can make all the difference, helping to bridge the gap between your business dreams and reality. By recognizing the role and value of collateral, you can make the most of your financial opportunities.
Learn more about collateral on our Business Resource Blog.
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