Too often such loans end up in jeopardy as banks strive to get cash by demanding immediate repayment or by reducing lines of credit.

FORBES: Fact and Comment

Back then big banks barely had enough cash to meet demands for repayment from relatively small numbers of depositors and creditors.

BBC: Banks agree minimum liquidity rules

In these deals NIR would provide cash to a publicly-traded company in exchange for a convertible debenture that entitled NIR to receive interest and repayment in the form of cash or discounted equity securities.

FORBES: Former NIR Group Analyst Accused of Securities Fraud

Repayment of the financing depends on the cash flows of the project (limited recourse project financing) rather than on the guarantees of other parties.

CENTERFORSECURITYPOLICY: Center for Security Policy | The Brody Confirmation: Will Eximbank Be Allowed To Go The Way Of A Scandal-Ridden CCC?