Dictionary
non-financial covenants
promises to do something which does not involve reaching financial targets
Non-financial covenants should assure full disclosure, management quality, and the borrower's continued existence.
Phrase Bank
- The company has to comply with certain non-financial covenants.
- The borrower was in breach of one of the non-financial covenants.
- A number of non-financial covenants were imposed in the loan agreement.
Additional Notes
- The opposite of a financial covenant.