Asset-Based Lending
A Flexible Solution For Businesses To Utilize
Their Assets As Collateral To Fund Working Capital
FUNDS AVAILABLE WHEN YOU NEED THEM
Having working capital on-hand to cover business expenses easily and quickly.
SCALABLE FINANCING
As your business grows your line of credit evolves to meet your financial needs.
REVOLVING LINE OF CREDIT
Draw on as little or as much as your business needs from your available line of credit.
FACILITIES STARTING AT
$1,000,000 and up
DISCOVER IF AN ASSET-BASED LOAN
IS RIGHT FOR YOUR BUSINESS
WHAT IS ASSET-BASED LENDING
Asset-based Lending provides working capital as a structured revolving line of credit based on a percentage of the value of the company’s assets, such as commercial accounts receivables, inventory, machinery and equipment. Commercial accounts receivable should comprise the largest portion of combined assets. The borrowing base for Asset-Based facilities can be up to 90% on commercial accounts receivables and up to 50% on inventory and machinery.
WHO USES ASSET-BASED LOANS?
Businesses who need working capital to take advantage of growth opportunities, maintain business operations, refinancing existing credit lines, and support seasonal fluctuations.
WHAT ASSETS CAN BE UTILIZED?
Commercial accounts receivable should comprise the largest portion of the collateral; while inventory and machinery & equipment can be used as a smaller percentage of the combined assets.
WHO QUALIFIES FOR ASSET-BASED FINANCING?
Small, midsize, or large companies with a reliable track record and having a pending increased working capital need.
HOW DOES ASSET-BASED LENDING WORK?
WHAT IS A BORROWING BASE?
The borrowing base establishes the total amount a company can borrow . Which is based on a percentage of the value of the businesses collateral.
HOW DOES AN ASSET-BASED LOAN DIFFER FROM FACTORING
Asset-Based loans offers a viable option for companies with growing assets. The company’s assets are used as collateral to borrow against, not sold. It offers flexibility since it is a revolving line of credit and availability can increase or decrease daily and weekly based on your sales, credits, and collections.
