A type of security given by a company or LLP to a lender over a specific asset (e.g. property, goodwill or trade marks) when borrowing money.
Under a Fixed Charge the borrower is not free to sell the asset without obtaining permission from the lender. The assets secured are normally significant or immoveable and specifically identifiable. Debtors or book debts can be subject to a fixed charge when the borrower has entered into a factoring or invoice discounting agreement.