Asset-Based Lending

Access working capital while keeping interest charges in check

One challenge for successful companies is that rapid growth outpaces their ability to internally support ongoing cash needs. A First American Asset-Based Loan may provide the ideal solution. Even if you lack fixed assets, you can offer accounts receivable and inventory as collateral. The upshot is you gain access to a credit line that serves as an exceptional cash management tool. Here's how asset-based lending works:

• A revolving line of credit is extended to you by First American Bank.
• As your customers pay their outstanding receivable invoices, the collections from provide liquidity that can be used to support your business operations. First American uses these funds to pay down the asset-based loan, which minimizes your interest expense and helps you to more efficiently manage your finances.
• As you need funds to pay bills, purchase inventory, etc., you continue to draw on your credit line.
• Through our monitoring of your account, we can provide detailed reports tracking trends in sales, collections and accounts receivable turnover.

In addition to our flagship Asset-Based lending product, the following are additional ABL solutions offered by First American Bank:

• SBA Export Working Capital Program
• SBA CAPline
• EXIM Bank Working Capital Guaranty