Asset-based lending

Unlock cash tied up in assets

This is an effective method to unlock cash that would otherwise be tied up in assets such as publicly traded shares, property or machinery. As your assets are your collateral you can use this form of finance for an amount no larger than the value of your assets. Typically, amounts would be lower than the total value of your assets.

Advantages

• Freeing up cash to trade
• Typically getting fast lending decisions
• Having a solution that works alongside traditional bank debt
• Getting tax benefits for lease payments
• Securing lower interest rates but if the borrower defaults the lender has the ability to seize assets

Criteria

• Length of trading history: one year
• Minimum turnover: 100,000 per annum
• Net assets: 150,000
• Lending range: £50,000 to £20,000,000