Asset financing is often regarded as a business loan to help your business grow. If you required capital or cash flow that is crucial to helping your business succeed, this loan will resolve your funding issues.
Payments can be spread over a period of time, significantly reducing your operational costs and alleviating financial strains.
If you currently already possess the assets, you could secure a lower interest rate with a secured loan by using your assets as collaterals.
On top of the interest rates being low, they are also constant throughout the entire lifespan of the contract - making payments predictable, allowing more control over cash flow management.
Property and asset financing is borrowing that is secured against something you own or are buying — commercial or residential property, or another substantial asset. Because the lender has that security to fall back on, this kind of financing usually carries lower and more stable interest rates than unsecured borrowing, and can unlock larger amounts. It serves two distinct purposes: helping you acquire a new asset, or releasing cash that is currently locked up in one you already hold.
The first is straightforward purchase financing — funding the acquisition of a property or asset, with that asset as the collateral. The second is refinancing, sometimes called asset-backed borrowing or equity release: you borrow against the value of something you already own to free up working capital, without selling it. A company that owns its premises, for example, may be able to unlock a portion of that value while continuing to operate from it.
Secured lending is less risky for the lender, because if repayments stop, the asset can ultimately be claimed to recover the debt. That lower risk is what translates into more favourable pricing and longer tenures than you would see on an unsecured loan. The amount available depends on the asset's current valuation and your credit profile — lenders advance a proportion of the value, not the whole of it.
The flip side of pledging an asset is real: it is on the line if the loan is not repaid, so the borrowing should be matched to a purpose that genuinely justifies it. Valuation and legal costs apply and will reduce the net amount you receive, so it is worth getting a clear breakdown before committing. Longer tenures lower the monthly cost but increase the total interest paid over the life of the loan.
Fundwise helps you understand how much you could realistically borrow against an asset and compares what different lenders will offer, so a secured facility is set up on terms that make sense for the business. Talk to us about your assets.
Guiding you at every step — and back again for your next financing need. It's an ongoing cycle, not a one-off transaction.
It is financing secured against property or other valuable assets, either to purchase new assets or to release cash tied up in ones you already own. Because it is secured, it often carries lower rates than unsecured borrowing. Fundwise is an advisory, not a lender.
Yes. Asset refinancing lets you unlock the equity in property or equipment you own to free up working capital, using the asset as collateral. The amount depends on the asset's value and your credit profile.
Because the loan is secured by an asset the lender can claim on default, the risk is lower, which typically translates into lower and more stable interest rates than unsecured options. Rates still vary by lender and asset type.
Usually proof of ownership and valuation of the asset, your company or personal financials, and directors or guarantors documents. Requirements vary by lender; we provide a consolidated checklist.
No. Fundwise is an independent loan advisory and brokerage, not a bank or licensed financial institution, and does not provide loans itself. We help you compare and connect with the licensed institutions that do.
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