Asset Based Loans

Regions Commercial Banking

Regions Business Capital offers asset-based loans that that you can secure with real estate, inventory or accounts receivable as collateral to help cover business expenses and investments. legal disclaimer number1 legal disclaimer number2

Some of the advantages of asset-based loans include:

Greater Flexibility: Asset-based loans generally have fewer restrictions than cash flow loans because they’re secured with collateral. This means you can focus on critical business needs instead of worrying about meeting monthly or quarterly requirements.

Enhanced Liquidity: If you borrow against your earnings before interest, taxes, depreciation and amortization (EBITDA) and earnings decline, your borrowing capacity is diminished. However, borrowing against assets may result in greater liquidity and more predictable availability.

Improved Cash Flow: Since asset-based loans are closely tied to collateral, lenders can give borrowers more time to work through a market fluctuation or turnaround in the event of financial difficulty than is possible with traditional loans. In fact, CFO’s often prefer asset-based loans over traditional loans so they’re assured of having available funding in the event of a business or economic downturn.

Contact Regions to talk to a Commercial Lending expert about asset-based loans, or call us at 1-800-REGIONS (1-800-734-4667).