Asset-Based Lending — revolver whose drawable capacity is set by a borrowing base, typically 80-85% of eligible A/R plus 50-65% of eligible inventory. Viewed as among the safest secured loans because recovery is tied to the liquidation value of specific current assets; covenants are typically lighter, often a springing fixed-charge-coverage test of 1.0× triggered only when excess availability falls below 10-15% of the facility.