future finance

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

future finance

An example of asset-based finance would be purchase order financing which might be alluring to a company that has stretched its credit restrictions with vendors and has reached its lending power at the bank. The inability to finance raw materials to fill all orders would leave a company operating beneath 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 costs and fees and remits the surplus to the company. The trouble of this type of financing, however, is the high interest typically charged - which can be as high as prime plus 10%.

future finance

We like to obtain a more industrial view of the name "assets". So our bankers may perhaps be of the same opinion that your tangible and intangible assets can permit you substantial borrowing power for your company.

Even if your current bank thinks differently.

Because every company has an exceptional set of issues, solutions are based on a combination 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 maintain direction of your business, because that's what you do best.
We form the facility to suit. Because that is what we do best.

future finance

Am I eligible?

Asset based finance could fit:

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

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

future finance

So what do I do?

Compose 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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