Syndicated loans are loans made by two or more lenders and administered by a common agent using similar terms and conditions and common documentation. It is a loan offered by a group of lenders – referred to as a syndicate – that work together to provide funds for a single borrower. The businesses that are choosing this option to finance their growth have expanded beyond the Fortune 500 companies that were its first users. Initially developed to address the needs of huge, acquisition-hungry companies, they have now become a flexible funding source for both mid-sized companies and smaller companies. Syndicated loans hinge on the creation of an alliance of smaller financial institutions who, by joining forces, are able to meet the credit needs of the borrower