Is Asset Based Lending Right for You?
At SouthStar Capital, we are dedicated to structuring a financing package that benefits your company today and in the future. SouthStar can tailor-fit a financing solution involving an Asset-Based Line of Credit, along with many of our other products.
In thinking about whether Asset-Based Lending is the right solution for obtaining working capital for your business, ask yourself the following questions:
- Is your business in growth mode?
- Will your bank not increase your current line of credit therefore not allowing your company to grow?
- Do you need additional working capital beyond what you currently have at your disposal?
- Have you been in business three or more years?
- Do you have Accounts Receivable, Equipment, and Inventory that could be used as collateral?
- Is your bank currently willing to take a write-down on a loan?
- Have you been turned down by a bank or government-backed lending organization for financing?
- Do you have a strong balance sheet with unencumbered assets?
- Would you like a line of credit that you could draw on at your convenience?
- Do you have assets you would like to leverage to meet your immediate finance needs?
- Do you want a line of credit that is flexible and able to meet your demands and allow your business to grow?
- Do you have marginal profitability or are coming out of a recent losses?
If the answer to one or more of the above questions is YES and your business has accounts receivable or equity in its equipment or inventory, you are a candidate for Asset-Based Lending.