LakeView Leasing

Equipment leasing and finance 

+1 (218) 422-8064

Cass Lake, MN 56633, USA

Transaction size
Asset-based revolving lines of credit range from $250,000 to $3 million.

Most companies qualifying for an Asset Based Loan will be B2Bs (business-to-business) in manufacturing, wholesale, distribution or business services generating commercial accounts receivable.

In most cases, annual sales range between, $4 to $25 million. The due diligence period for lines of credit approvals are often 20 to 30 days and require the following:

  • Two years of tax returns
  • High Quality Account Debtors
  • Balance Sheet Tangible Equity
  • Cash Lockbox Receipts
  • Low Dilution of Accounts Receivable
  • Personal Guaranty from ownership group
  • First secured position on all assets of borrower
  • Satisfactory Third Party collateral field examination prior to funding

Business Funding

Asset-Based loans provide businesses with immediate funds and ongoing cash flow in the form of a revolving line of credit based on a percentage of the value of the company’s assets, such as commercial accounts receivable, inventory, and machinery & equipment. Interest is calculated on the funds advanced.  This business funding can greatly assist a company in growth stages and is an alternative for small business lending.

Many companies use Asset-Based Lending as a constant source of working capital and borrowers only pay interest on the funds they draw. Companies also use Asset-Based lending when they haven’t been able to secure financing through traditional lenders for a multitude of reasons.

Top 5 reasons companies choose asset-based lending
 Optimize working capital
 Support continued growth
 Take advantage of opportunities
 Need for flexible and customized package
 Unable to get traditional financing