> For the complete documentation index, see [llms.txt](https://quantixfinance.gitbook.io/quantixfinance-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://quantixfinance.gitbook.io/quantixfinance-docs/credit-lifecycle/funding-and-disbursement.md).

# Funding and Disbursement

Capital is drawn from the pool and disbursed to the borrower under the agreed mechanics. For a term loan, this is a single disbursement made once at closing; for a revolving facility, the borrower draws against an approved limit as needed, which means the facility can sit partially or fully undrawn for periods of time without that being a sign of anything unusual — undrawn capacity is simply capacity the borrower hasn't needed yet. Each drawdown is recorded on the loan itself and immediately reflected at the pool level: available liquidity decreases, deployed capital increases, and utilization moves accordingly, so the pool's real-time state always matches what's actually been lent out rather than lagging behind it.

Disbursement is the moment the pool's economics turn on. Before this point, a facility can be fully structured, fully approved, and fully collateralized, and still generate nothing — it's committed capacity, not active credit. From the moment funds are disbursed, the borrower begins paying the cost of capital over time under the terms set during structuring, and that interest is what actually produces lender yield. Everything upstream of this point — underwriting, structuring, closing — exists to make sure that when this moment arrives, it's on terms that hold up.