Sort of. It's a "line of credit" which, ideally, means potentially money now in exchange for potential future money, more like an overdraft than a loan.
That is, they shouldn't be paying interest on $50m sitting in their bank account right now, but would instead pay interest on what of the $50m they actually choose to use. I don't know if it's different in the US though.
I recall Richard Branson mentioning this sort of arrangement a lot in his autobiography as to how Virgin managed to keep going.
That is, they shouldn't be paying interest on $50m sitting in their bank account right now, but would instead pay interest on what of the $50m they actually choose to use. I don't know if it's different in the US though.
I recall Richard Branson mentioning this sort of arrangement a lot in his autobiography as to how Virgin managed to keep going.