Common Uses for Asset-Based Loans
Business owners choose to allocate working capital in a number of ways. We’ve outlined the most popular ways asset-based loans are used below:
Supplies & Inventory:
Purchase what you need for your daily operations with an asset-based loan. That way, orders get fulfilled on time and you have the resources you need to achieve success.
The pandemic has resulted in increased costs for many small businesses. Others have seen business slow, causing companies to bring in less revenue than expected. Financing can help bridge cash flow gaps caused by COVID-19.
Funds can be allocated towards everyday expenses, like rent and utilities. If revenue has dropped and you’re having trouble covering fixed costs, we’ve got you covered.
Growing Your Company:
Scaling growth can require you to invest capital up-front. Having additional cash on hand will help you build out your company as you expand.
Equipment & Machinery:
Certain industries require special machinery to get the job done, while others require basic equipment to accommodate customers and clients. Asset-based loans make purchasing new and used equipment possible for every business owner.