Advance Funding is also referred to as what?

• A. Pre-delivery Loan
• B. Pre-delivery Payment
• C. Pre-Delivery Hell or High Water Agreement
• D. Pre-Ownership Agreement

Answer: (C)

Advance Funding is described in this context as a Pre-Delivery Hell or High Water Agreement. The idea is that funds are advanced before the asset is delivered, with a blanket, unwavering obligation on the lender to provide those funds regardless of obstacles or changes in circumstances. The “Pre-Delivery” part marks the timing—before delivery of the asset—while “Hell or High Water” signals an all-encompassing commitment to fund under the agreement.

That combination is why this term fits best: it names both the timing and the unconditional funding obligation that characterizes advance funding in these documents. The other phrases—pre-delivery loan, pre-delivery payment, or pre-ownership agreement—do not capture this specific funding structure or the absolute funding commitment implied by the Hell or High Water clause.