Monday, May 4, 2015
Worth Considering � Why A Canadian ABL Lending Facility & Asset Based Loan Is Unique
It's no secret to any Canadian business owner or financial manager that business financing,personalized bobbleheads, specifically operating lines of credit have been difficult t achieve over the last several years. Let us ask you a simply question - Do you think an ABL lending facility is worth considering for your firm, and why is this type of asset based loan ( its not a loan per se ) working for thousands of firms in Canada .We're the first to forgive clients who either are confused about what an ABL revolver is,custom bobblehead, or,personalized bobblehead, better yet,personalized bobble heads, haven't even heard of this type of business financing. We'll clear that up for you in short order.Confusion partly exists because there are some different,custom bobbleheads, let us call them ' versions ' of an asset based loan and abl lending facility. They also go by some different names, such as working capital facility,3D Rendering Services,personalized bobbleheads, abl revolver,custom bobblehead, asset based lending... and on it goes. Could one of these versions be the right type of financing for your firm? We think it could!So let's get back to defining those different solutions, or ' versions. In its purest form asset based financing is a credit facility which is collateral based line of credit based on underlying assets - those assets typically being receivables and inventory. Typically a true asset based lender will also let that same facility margin equpment and real estate if that fits into your mix.So whats all the ' hub bub ' about that,customized bobbleheads, clients ask,personalized bobble heads, doesn't Canadian chartered banks offer that same thing? Not really and here's why!ABL financiers use a borrowing base formula of those assets we just mentioned and use a much higher advance or margining rate. What's the bottom line on all that? ... Simply that you have just achieved a much higher business line of credit.So how do abl lending and asset based loan granters do it? It's simpler than you think. They simply tend to have a greater expertise in certain industries,., but moreso exert strict controls and reporting on you the client. And don't get us wrong; those ' controls ' aren't all the ratio,custom bobblehead, covenants, and personal guarantee and outside collateral that are required from those great folks at our chartered banks. In the case of an abl lending facility those controls are a requirement for regular reporting by you of those assets being financed,personalized bobblehead,Ex-Wife, and occasional operational audits. We advise clients that those two items are well worth the significant increase in working capital and cash flow they will obtain from an asset based loan.Oh,customized bobbleheads, and by the way, you will note we said the facility is not a loan; it's simply a monetization of those assets that can drive working capital your way much sooner and in a bigger way.So, in summary,custom bobbleheads,2011 FIA GT1 World Championship, is an ABL lending facility worth considering. If you have all the business financing you need and you have no need for additional cash flow and capital then guess what... it's not for your firm. But,customize bobblehead,Guide to Buy Wedding Dresses at Low Cost, on the other hand... if.....!P.S. Trust us. check it out.
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