How can Asset Finance and Asset-Based Lending be used as alternatives, or complementary approaches, to funding through traditional loans or overdrafts?
Finance business assets
Asset Finance and Asset-Based Lending volumes are reaching new highs, largely driven by business expansion plans instead of the replacement of traditional loans or overdrafts.
UK companies raised £25.4bn1 in Asset Finance in 2014 – borrowing against a business’s non-property physical assets, according to the Finance & Leasing Association. Asset-Based Lending, which provides funding against assets such as receivables and inventory, reached a record £19.4bn in September 2014 according to the Asset Based Finance Association.
Barclays expects healthy increases in new business growth in these flexible forms of funding for 2015 as Asset-Based Lending and Asset Finance continue into the mainstream in the UK.
1fla.org.uk, February 2015