Asset Based Lending

A corporation’s tangible assets can do more than perform their primary business function; an asset can also work on behalf of the balance sheet. The flexibility of an asset based financing structure can be particularly relevant to small-cap and mid-cap firms in industries where working capital assets dominate the balance sheet (manufacturers, distributors, wholesalers, retailers and business services, for example). Last year, KeyBank's Business Capital team closed over $650 million in new asset-based financing commitments to manufacturers, distributors, wholesalers and more.

Can your assets work for you?

From revolving credit facilities to senior term loans, Key has both the expertise and financial strength to help companies with assets valued at more than $5 million. We can help companies to increase working capital at a reduced interest rate, refinance existing debt, fuel growth, fund M&A, and to increase liquidity during business restructuring, turnaround or recapitalization.

Recent asset based lending deals provided by KeyBank Business Capital have assisted businesses of a variety of sizes and in multiple industries and locations. Recent examples in this PDF include:

  • Key arranged a $100 million revolving credit facility for Associated Asphalt.
  • Key arranged an $80 million revolving credit facility for Prime Materials Recovery Inc.
  • Key provided a $38 million revolving credit facility and term loan for Stelfast Inc.
  • Key closed $30 million senior secured credit facilities for Pacific Foods of Oregon, Inc.

Asset based lending is a particularly relevant solution for many companies in the following industries:

  • Manufacturers
  • Distributors
  • Wholesalers
  • Retailers
  • Business Services

Asset based loans can take on many forms. The lending products that have helped our clients the most include:

  • Secured revolving credit facility
  • Short-term over-advance facilities
  • Secured term loan facilities
  • Senior stretch term loans