Asset Based Finance Solutions for Your Business
Asset based finance has grown in popularity in the last few years with many lenders now providing it. Quite simply, this form of lending enables you to use some of your business’s existing assets to raise monies should cash flow warrant it.
For instance, you can raise funds on your outstanding invoices, raw materials, finished products, plant and machinery and property. The monies realised could be used for a variety of purposes such as to assist cash flow, buy additional stock, purchase new machinery, refinance and management buy-outs/buy-ins.
A borrowing facility is normally made available for a period of time secured by one or more of the above assets but you only pay interest on the amount outstanding. As an indication, you may be able to borrow up to: –
- 60% on property
- 90% on outstanding invoices
- 80% on the market value of plant and machinery
- 50% on stock
You may be able to borrow from £10,000 to many £ millions and repay over a number of years. The level of your asset based lending facility could increase as the value of your assets increase thus enabling you to progressively grow your business and your repayment schedule could accommodate seasonal changes in business to further assist cash flow.
Why not get in touch with us for some Free, Impartial advice about Asset Based Finance
Here at Connect Commercial Finance, we can arrange for you to speak with an expert in this complex area of finance who has many years experience. He or she will be able to help you source competitive Asset Based Lending from the numerous providers of such finance and assist in preparing a suitable business plan.