When it comes to lending, there is one constant finance class that crosses over most of your clients. And that is regardless of their financial situations. Be they SME’s, PAYG clients, Investors, Developers and more they all need Assets and Equipment finance. It seems everyone we know has a car at least and a lot of people need equipment (Large and small) to run their businesses.
But aside from these simple and standard products there are also more technical products a good asset finance lender has access to such as:
1. Bank Overdrafts & Lines of Credit
These facilities can be established outside of your client’s primary banking relationship and are very effective in providing quick access to working capital for SME clients.
Our lender partners who offer these products do not usually require any collateral security and they can be approved and funded within 48 hours of submitting the application, so much faster than a traditional bank!
Your SME clients will only pay interest on the funds they draw down and there are usually minimal fees to be paid.
2. Debtor or Invoice Funding
Another great way you can assist your SME clients to access vital working capital is by establishing a debtor or invoice finance facility via Agiliti Capital.
These facilities help unlock vital funds that are tied up in debtor ledgers.
Rather than waiting 30, 60 or even 90 days to be paid by a client, debtor or invoice funding can give your clients immediate access to a large portion of the invoice value to use elsewhere in their businesses. Depending on the credit profile of the individual debtors, up to 95% of the invoice value may be available to your clients.
3. Insurance Premium Funding
Often overlooked, insurance premium funding can also assist cash strapped businesses to efficiently manage their cashflow.
Rather than paying costly annual insurance premiums as a lump sum every year, insurance premium funding enables a business to spread the cost of their insurance premiums over the year via monthly instalments.
Typical insurance policies that can be financed include Professional Indemnity, Workers Compensation, General Business Insurance, Motor vehicle and even vehicle fleet registration fees.
Insurance premium funding loans do not usually require any collateral security as the insurance policy itself is taken as security by the lender.
4. Equipment Equity Loans
Your SME clients can also potentially release important working capital that is tied up in their fixed business assets such as motor vehicles or business equipment and machinery.
Depending on the loan purpose, we have several lender partners who will fund “cash out” or equity release type equipment finance loans for eligible SME clients.
Learn how Asset Finance can add value to your bottom line
In conjunction with Agiliti Capital, National Lending Group is hosting a webinar on Thursday the 21st October 2021 at 1.00pm AEDT / 12.00pm QLD / 12.30pm SA and NT / 10.00am WA
We will take you through the Asset Finance journey where you will discover how easy it is to get your business involved in Asset and Equipment Finance
Click this link to register: https://event.webinarjam.com/register/36/9p7l3ag1
If you would like to discuss this earlier, please feel free to call me on 0406 076 828 or email slake@nlg.com.au
Steve Lake | National Lending Group
He also owns Referconnect, a marketing company specialising in linking financial service providers to provide better outcomes for their clients and deliver assets and profit to business owners and stakeholders.
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