What Is Asset-Based Lending?

Usually used with smaller companies that are growing quickly, need cash soon, and may have less-than-perfect credit, asset-based lending allows you to use your company’s assets as collateral for your loan. At CapitalPlus.com, an asset-based transaction is an advance based on the value of your invoices. This way, you still own your assets, and you’re putting them to work for you in a variety of ways. Although accounts receivable are the most common collateral, inventory and almost any other asset could potentially be used to secure an asset-based loan.

Types of Business That Would Use Asset-Based Lending

Advantages of Asset-Based Loans

There are a number of advantages to asset-based financing. The primary benefit is that smaller businesses are typically able to get the cash they need more quickly than they would if they were financing through a standard bank loan. Securing an asset-based loan through CapitalPlus.com can also help your company meet its short-term financial needs.

At CapitalPlus.com, we understand that each company has different needs. Smaller businesses that are expanding rapidly may have a harder time coming up with the cash needed to help their company grow. We can help your business secure asset-based financing, allowing you to lease the necessary equipment so your company can continue to expand. Contact us today, and get more capital for your business with CapitalPlus.com’s asset-based factoring and financing services.