### Question
How does the law define lender?


### Answer
Under *17 CFR § 1.12*, **lender** is defined as:

> the person who lends cash to an applicant or registrant pursuant to a subordinated loan agreement and the person who contributes a secured demand note to an applicant or registrant pursuant to a secured demand note agreement.

#### Citation:
  - *17 CFR § 1.12*
