Asset-based credit lines

Asset-based credit lines are financial products that allow businesses to secure a loan or line of credit using their assets as collateral. These assets can include accounts receivable, inventory, machinery, or real estate. By leveraging the value of existing assets, businesses can gain access to working capital to manage cash flow, invest in growth opportunities, or cover unexpected expenses. Asset-based credit lines provide flexibility and can often be obtained more quickly than traditional loans. They are particularly useful for companies with substantial physical assets but may not qualify for unsecured financing due to tight cash flows or less-than-perfect credit histories.