What is C&I Loan (Commercial & Industrial)?
A loan made to a business for working capital, equipment, expansion, or other operational purposes — as opposed to real estate–secured lending.
C&I Loan (Commercial & Industrial) in commercial lending practice
C&I loans are typically underwritten primarily on the borrower's cash flow, balance sheet strength, and industry position rather than collateral value alone. Common credit metrics include DSCR (or FCCR for SBA), leverage ratios, working capital adequacy, and industry-specific operating ratios. C&I underwriting often involves multi-year tax return spreading, financial statement analysis, and global cash flow analysis where guarantor support is relevant.
Related terms
Related concepts in commercial underwriting
DSCR (Debt Service Coverage Ratio)
The ratio of net operating income (or available cash flow) to total annual debt service, including principal and interest payments.
Read definitionFixed Charge Coverage Ratio (FCCR)
A broader coverage metric than DSCR that includes all fixed obligations — debt service plus lease payments, insurance, taxes, and other recurring costs.
Read definitionGlobal Cash Flow Analysis
An underwriting approach that consolidates the cash flows of all related entities and guarantors — not just the borrowing entity — to assess total repayment capacity.
Read definitionWorking Capital
The difference between current assets and current liabilities, representing the short-term liquidity available to fund day-to-day operations.
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How C&I Loan (Commercial & Industrial) shows up in AI underwriting
Aloan automates the underwriting analysis where c&i loan (commercial & industrial) matters — spreading, global cash flow, credit memo generation — with source-cited audit trails on every figure. See it run on a real deal in your standardized format.
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