Businesses of all sizes sometimes experience cashflow issues that cannot be resolved within existing overdraft facilities and often banks suggest a consolidating loan – which effectively reduces or replaces the overdraft, but security can be a problem.

Asset based lending can provide additional funds without affecting existing bank lending and the business may already have used this type of funding when purchasing new capital items.

It can, however, also be used to raise new funding at times of difficulty – by using existing, unencumbered, assets as security for borrowing. The high street banks will sometimes lend on this basis but lots of less main stream lenders exist to meet just this sort of requirement.

If you would like to discuss any aspect of funding your business please just give me a call on 07774 110788 , email me or contact me on Twitter 

Guest Article By Andrew Hawkins