The Borrowing Base Certificate is a formal, lender‑defined document that a borrower must complete and submit, often weekly or with each funding request, in an asset based lending facility. It calculates the maximum loan availability based on the current value of the borrower’s eligible collateral, typically accounts receivable and inventory.

The BBC provides a real‑time snapshot of collateral levels, ensuring that the outstanding loan balance never exceeds the discounted value of pledged assets. It is usually signed by a senior financial officer (e.g., Chief Financial Officer), making it a legally attested document that certifies the accuracy of the underlying data.