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Sponsor-Based vs. Asset-Based Lending

Insolvency Insider
Insolvency Insider

Jun 13, 2025

Sponsor-Based vs. Asset-Based Lending

Rob Borowski of MarshallZehr breaks down the key differences between sponsor-based and asset-based lending, noting that while U.S. lenders often lean into sponsor strength and business plans, Canadian lenders tend to focus more on the hard assets backing a loan—making for two very different approaches to assessing risk and structuring deals.

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