aldermore asset finance

Asset based finance is a means of providing working capital and loans that are secured by accounts receivable, stock, machinery, equipment and / or your real estate. This variety of funding is great for startup companies, refinancing existing loans, financing growth, mergers and acquisitions, and management buy-outs (MBOs) and buy-ins (MBIs).

aldermore asset finance

An instance of asset-based finance would be purchase order financing which may possibly be eye-catching to a company that has stretched its credit limits with vendors and has reached its lending ability at the bank. The failure to finance raw materials to fill all orders would leave a company operating below capacity. The asset-based lender finances the purchase of the raw material, and the purchase orders are then assigned to the lender. After the orders are filled, payment is made to the lender, and the lender then deducts its costs and fees and remits the balance to the business. The weakness of this type of financing, however, is the high interest typically charged - which can be as high as prime plus 10%.

aldermore asset finance

We like to obtain a more capitalist view of the name "assets". So our bankers might concur that your tangible and intangible assets can permit you significant borrowing power for your company.

Even if your current bank thinks another way.

Since every company has an exceptional set of issues, solutions are based on a blend of asset based finance, cash flow or equity finance. Typically, it would be for raising finance between $2m and $30m. And solutions are provided on both a revolving and fixed term basis.

What's in it for me then?

Continuity of funding is certain.
You preserve command of your business, because that is what you do best.
We sculpt the provision to suit. Since that's what we do best.

aldermore asset finance

Am I eligible?

Asset based finance could fit:

Businesses that sincerely need some ready money. Maybe you are considering a management buy-out, a buy-in, restructuring, acquisition, refinancing or turnaround prospect.
Businesses well-known for at least a year with turnovers from $5m up to $200m.

Contrasting other finance, factoring is secured against your invoicing and not your dwelling or your business but you will need a business plan.

aldermore asset finance

So what do I do?

Write a business plan and send it to us and we will ensure that your business receives the correct financing and in a way that relieves you of so much administration, stress and headaches.

It does not matter what your business does
It does not matter where your business is
It does matter that you get the right finance for your business
Write your business plan and contact us

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