When a lender makes a loan to your business, and in the loan agreement takes a security interest (as collateral) in one or more of your assets, it may include a completed UCC-1 financing statement (UCC-1). A UCC-1 is a document that, when properly filed with the state (often the secretary of state’s office), provides notice to potential buyers of those assets, and notice to future creditors of your business that the earlier lender has a priority interest in those assets. Article 9 of the Uniform Commercial Code governs business or commercial transactions (loans, extensions of credit) that are secured by collateral, and provides for use of the UCC-1 filing. Vehicles, office equipment and fixtures, inventory, investment securities, accounts receivable, machinery, letters of credit, and other moveable, tangible items of value often serve as the collateral for a UCC-1.

In Oregon, when a lender provides a loan to a business and secures the loan with the business's assets as collateral, the lender typically files a UCC-1 financing statement. This filing is made with the Oregon Secretary of State's office and serves as a public notice that the lender has a security interest in the specified assets of the business. The UCC-1 filing is governed by Article 9 of the Uniform Commercial Code (UCC), which regulates secured transactions involving personal property. The types of assets that can be used as collateral and are subject to a UCC-1 filing include vehicles, office equipment, inventory, investment securities, accounts receivable, machinery, and other tangible items of value. The filing of a UCC-1 financing statement is important because it establishes the lender's priority in the event of default or bankruptcy, and it alerts potential buyers and future creditors to the lender's secured interest in the assets.