• A term loan with deferred payment is a term of a term loan that specifies when and how much the borrower will receive.
  • DDTL usually has specific time periods such as three, six or months for recurring payments, or payment terms can be based on company milestones.
  • Provisions allow the lender to better manage the need for cash.
  • Deferred receipt gives the borrower the opportunity to know when he will see guaranteed periodic cash flows.