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Floating Security

The Cyclopedic Law Dictionary · Walter A. Shumaker and George Foster Longsdorf; ed. James C. Cahill · 1922

The Cyclopedic Law Dictionary

A floating security is "a security on the property of the company as a going concern, subject to the powers of the directors to dispose of the property of the company while carrying on its business in the ordinary course."

1 Ch. 434, 10 Ch. D. 530.

Debentures which allow a company to deal with its assets in the ordinary course of business until the company is wound up or stops business or a receiver is appointed at the instance of the debenture holders company to carry on its business.

2 Ch. 118, 1 Ch. 641.