An Asset Based Loan (ABL) is a generic term that describes a type of business financing that is secured by company assets. These loans are usually offered by non-bank lenders that will not require the borrower to have strong credit as part of their loan decision. ABL companies make loans based primarily on the value of the business assets. This is a valuable option for companies where the business lacks cash flow or the business owners have less than perfect credit.

An Asset Based Line of Credit can be used to improve your company’s cash flow position and provide funds to pay for business expenses. Asset based loans are growing rapidly as banks have pulled back from the small business lending space.

While a traditional bank may say “no” due to your insufficient cash flow, lack of profitability or credit concerns (based on the banks’ more strict underwriting standards), an Asset Based Lender will use your company assets to justify loaning money. These assets may include accounts receivable, inventory, equipment, real estate – even patents, technology and intellectual property.

ASSET BASED LENDING BENEFITS INCLUDE:
• Credit Approval is not based on your credit score, cash flow or profitability
• Receive a larger line of credit than available through traditional financing
• Quick and ongoing cash infusion allows you to capitalize on profitable opportunities
• Utilize as interim funding until permanent financing can be arranged
• Take advantage of trade discounts or restock your seasonal inventory
• Online management via client portal and dashboard

ACCOUNTS RECEIVABLE FINANCING (Factoring):
If you’ve maxed out credit lines and your cash is tied up, your business may be a candidate for accounts receivable financing or “factoring”. Factoring is a simple method of unlocking capital that already exists in your business. Factoring involves the purchase of unpaid invoices at a discount as a means to advance funds to your company now. Factoring is a smart funding solution for businesses of all sizes from growing start-ups to long-established companies.

INVENTORY FINANCING
Our clients can obtain financing for inventory including, but not limited to, raw materials, work in progress and finished goods. Inventory loans are usually short term or revolving loans that can be used to pay purchase inventory for seasonal sales, rebuild and restock a wholesaler’s product line or fully replenish a retailer’s inventory on a predictable schedule.

EQUIPMENT FINANCING
Businesses can use their existing equipment as security to obtain a working line of credit or term loan which can be used for general business expenses or to purchase or lease new equipment. Infinite Business Capital also provides equipment lease purchase programsfor new equipment purchases. Because we offer multiple lenders who will compete for your equipment finance business, rates and terms are determined on the specific equipment being financed and other factors.

ASSET BASED LENDING BENEFITS INCLUDE:
• Credit Approval is not based on your credit score, cash flow or profitability
• Receive a larger line of credit than available through traditional financing
• Quick and ongoing cash infusion allows you to capitalize on profitable opportunities
• Utilize as interim funding until permanent financing can be arranged
• Take advantage of trade discounts or restock your seasonal inventory
• Online management via client portal and dashboard