Production loan

A loan to a company with the regular purpose of financing the purchase of raw materials and goods from which a final product is manufactured. The loan is normally repaid from the proceeds of the sale of the manufactured goods (loan for the manufacture of merchandises, the repayment typically is linked to the sale of the products). – The distinction from investment credit is fluid in textbooks, including international ones, as well as in banking practice. – See personal loan, productive loan.

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University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
Professor Dr. Eckehard Krah, Dipl.rer.pol.
E-mail address: info@ekrah.com
https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk
https://www.jung-stilling-gesellschaft.de/merk/
https://www.gerhardmerk.de/