Business-purpose requirement
A condition requiring borrowed funds to be used for legitimate business purposes rather than personal or prohibited uses.
Related terms
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Misuse of funds
Using money for an unauthorised, improper or prohibited purpose, potentially creating contractual, tax, insolvency or legal consequences.
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Misspending
Informal wording for using borrowed or company funds for purposes that were not permitted, intended or properly authorised.
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Scheme misuse
Use of a government-backed loan or support scheme contrary to its rules, eligibility conditions or stated purpose.
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