The Asset Based Finance Association (ABFA) recently reported that UK and Irish businesses are using asset financing more.
In Great Britain and the Republic of Ireland during the last quarter of 2014, firms were provided with £19.4bn of asset-based finance. That is £1.6bn more than during the same period of 2013, equating to an increase of 9%.
There is a further £20.5bn of unused facilities available. These funds have been agreed and can be drawn at any time.
Jeff Longhurst, the Chief Executive of ABFA, explained why enterprises need asset financing:
“For a business looking to capitalise on a growth opportunity being able to raise rapidly and deploy funds can give you a vital edge over your competitor.”
Using invoice financing and asset financing, firms can quickly get the funds that they need. This makes it possible for them to move fast when they see a business opportunity; for example, to secure the funding for new commercial premises or to buy raw materials at knockdown prices.
Companies also use asset finance products to assist them in managing their cash flow. Some borrow money during seasonal dips to help them to stay in the black until sales take off again later in the year.
At DJB, we will help you to find the best asset finance solutions for your company. To find out more and start using asset financing to grow your business, all you need to do is to give us a ring or fill in the quick contact form on this website.
Witten by Grace on