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Asset-Based Lending

Asset-Based Lending

  • Term

    Main definition

  • Asset-Based Lending

    Asset based lending is a form of funding secured against assets of the business; typically, inventory, accounts receivable, and fixed assets. It can be a useful source of finance to bridge a funding gap in a proposed transaction, as well as an effective method of managing working capital.

    Asset-Based Lending also includes invoice discounting and factoring.

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