In a study conducted by Crowe Horwath LLP, 54% of manufacturing and distribution companies have not implemented a working capital strategy. Of the executives
*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.
The borrowing base for ABL facilities can be up to 90% on commercial accounts receivables and up to 50% on inventory and machinery. **Commercial Accounts Receivables should comprise the largest percentage of the combined assets.
