One of the biggest challenges most businesses face is cash flow. Every firm occasionally needs extra cash, but sourcing that extra cash can be difficult. The traditional route of applying for a loan takes time and can be expensive. In addition, when you apply for a loan in this way there is no guarantee that the loan will be approved. Fortunately, there is another way – and that is for firms to use an asset finance broker to generate cash from the assets they own.
Most firms have a lot of money tied up in their assets, so this method of borrowing can generate a significant amount of cash. A company that has £100,000 worth of plant and machinery could potentially borrow £80,000 against that asset alone.
Firms that generate cash in this way have the freedom to use those funds as they see fit. There is no need to draw up a business plan to secure the funds. A firm can use those funds to keep ticking over during a seasonal dip or to invest in new machinery. Asset financing is one of the easiest and fastest ways to borrow money, and it is a form of financing that works for virtually any type or size of firm.
At Invoice Finance Scotland, as an asset finance broker we are able to help you lend against a range of assets, to give you the money you need to invest and develop your business. Below is a list of assets we will lend against, and the amount we are able to lend against each asset type.
30% of the value of raw materials
50% of the value of finished products
60% of each piece of company property
80% of the market value of plant and machinery
90% of the value of outstanding invoices
If you are looking for an asset finance broker, or just want to find out more about borrowing against your firm’s assets, please call us or fill out a quote form. We have already helped thousands of firms to raise the capital they need to grow their business, so we are confident we can help you to do the same.