Business asset refinancing is a secured form of lending used to raise funds against an existing asset purchased by a business in full, or sometimes on existing equity on an asset only partially purchased.

Business asset refinancing can benefit any business that requires a quick cash release and holds one or more sizable assets such as machinery, vehicles or equipment. Industries that could benefit include:

Typically, business asset refinancing is used against machinery, vehicles and equipment, but almost any sizable asset can be considered if you are looking to gain working capital finance. Refinancing can be used on one or multiple assets, depending on the funds that the business needs to gain. The finance provider will ascertain the asset value, which will depend on various factors.

Construction
Construction vehicles, vehicle maintenance equipment, construction technology & software

Manufacturing
Manufacturing machinery, support equipment such as cranes and robotics, technical equipment

Transport
Vehicles (road, rail, water or air), containers and storage, tracking technologies and equipment

Engineering
Vehicles, engineering machinery, technologies and office equipment

Healthcare
Office and technical equipment, vehicles, medical equipment

Various factors will be considered by the finance provider when deciding the asset value, the kinds of information you can expect to provide about the asset are:

• Year of manufacture
• Year of purchase
• Usage / mileage / condition
• Proof of purchase

Business asset refinancing can benefit absolutely any business, small or large, with one or more sizable assets. It is a fast and efficient solution to gain capital against an existing asset.

The term secured loan means that the asset is used to secure the finance. The asset is used as collateral against the agreement. So should the business become unable to meet the agreed instalments, although a lot of lenders do take a flexible approach and try to accommodate the business where possible, if no solution can be met the asset may be removed from the businesses' possession.