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Private credit glossary · Live data July 2026

What is senior debt?

Senior debt is the highest-priority loan in a company's capital structure — first in line to be repaid if anything goes wrong — which makes it the cheapest form of private credit a borrower can raise.

943

active Senior funds in the Agentas database

$10M$100M

median stated check-size band

How it works

  • Secured by company assets or cash flow; first claim in a default waterfall.
  • Typically priced as a floating rate over SOFR with the lowest spread in the private credit stack.
  • Lenders size it off EBITDA multiples or asset coverage, usually with covenants.

When borrowers use it

  • Refinancing or consolidating existing debt at scale.
  • Funding acquisitions, growth capex, or working capital where the borrower has real collateral or cash flow.

Related terms

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