equity finance

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

equity finance

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

equity finance

We like to take a more industrial view of the label "assets". So our bankers may perhaps be of the same mind that your tangible and intangible assets can permit you substantial borrowing capacity for your business.

Even if your existing bank thinks in a different way.

Since every corporation has an exclusive 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 assured.
You preserve direction of your business, as that's what you do best.
We mold the provision to fit. As that's what we do best.

equity finance

Am I eligible?

Asset based finance could fit:

Businesses that genuinely need some ready money. Possibly you're considering a management buy-out, a buy-in, reorganization, acquisition, refinancing or turnaround opportunity.
Businesses recognized for at least a year with turnovers from $5m up to $200m.

Unlike other finance, factoring is protected against your invoicing and not your abode or your business but you will require a business plan.

equity 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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