Asset Based Lending is similar to invoice finance. Asset Based Lending releases cash tied up in your sales ledger but contains additional elements such as stock finance, asset finance, letters of credit, and business property finance.
Debtor protection can also be secured through Asset Based Lending to protect the business against bad debts.
Asset Based Lending reduces the administrative burden of securing separate asset based finance facilities as there is one point of contact.
It can be provided through a syndicated loan, also known as structured finance, where a group of lenders work together to provide funding whilst you retain a sole point of contact. The biggest area of growth, when looking at the overall market, is Asset Based Lending which has seen 22% growth between Mar 12 and 13.