Though we are now nearly four years past the official end of the Great Recession, obtaining credit remains challenging for many small and mid-sized businesses. This is especially true for businesses that have experienced difficulties such as a drop in revenue, or those with inadequate capital structure to support their cash flow.
Companies like these often find that their financing options are limited, especially within the realm of traditional bank financing. In fact, many small and mid-sized businesses have simply given up trying to obtain financing. In a recent survey conducted among business owners and executives by Forbes Insights and CIT, only 11 percent of respondents said they had sought new lines of credit or small business financing over the past year in an effort to help improve their cash flow.
Asset-Based Lending as an Alternative
In these circumstances, many owners often find that alternative and non-bank financing options can help them obtain the capital they need to keep the gears of their business running smoothly. Asset-based lending (or ABL) is one of these non-bank alternatives... Read More
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