Asset Backed Lending

Asset backed lending allows you to use the value of your business assets to raise funds for growth, acquisitions, or working capital. It’s particularly useful for companies looking to scale without taking on external investors or giving up equity.

Not at all. While ABL is often used by larger firms with significant assets, many lenders now provide flexible solutions for small and medium-sized enterprises (SMEs). If your business holds valuable equipment, property, or stock, asset backed lending could be a suitable option.

Depending on the complexity of the arrangement and the assets being used, funding can often be accessed within a few weeks. Because the finance is secured against existing assets, the approval process can be faster than traditional lending methods.

Asset backed lending offers several key benefits:

• Access to larger funding amounts than unsecured loans.

• Greater flexibility, as the facility can grow with your business.

• Retention of ownership — you don’t have to give up equity.

• A viable alternative when traditional bank finance isn’t suitable.

As with any secured finance, there is a risk of losing the assets used as collateral if repayments aren’t met. It’s also important to consider the cost of the facility and ensure it aligns with your business cash flow. Working with an experienced adviser helps minimise these risks.

Yes, many businesses combine ABL with other funding sources such as invoice finance, overdrafts, or term loans. This approach can help create a more balanced and flexible financial structure to support different needs within the business.

At Kerr & Watson, we help businesses of all sizes find the right funding strategy by understanding their assets, objectives, and cash flow needs. We work with a wide network of lenders to secure tailored asset backed lending solutions that support your long-term growth.