Seeking Financing? Consider Asset-Based Loans

Kreft, Ira J.; Allweiss, Allan D.
September 2002
Financial Executive;Sep2002, Vol. 18 Issue 6, p47
Academic Journal
This article presents the authors' perspective on asset-based loans. They believe they can be less burdensome but more efficient and flexible for a company to borrow and still operate freely. There are several advantages over a cash flow loan such as greater borrowing capacity. Asset-based lending also remains available during an economic downturn even amidst bank consolidation that is affecting other loan markets. The default of many cash flow loans during the 1990s has prompted banks to increase the availability of other types of loans. INSET: Why Consider Asset-Based Financing?.


Related Articles

  • Mixed Outlook For Taiwan Stocks.  // Asia Monitor: China & North East Asia Monitor;Jun2003, Vol. 10 Issue 6, p8 

    Moody's recently released a report praising the solidity of Taiwan's maturing structured debt market, following the implementation of a securitisation law eleven months ago. Indicating the increasing popularity of structured debt products, the government is set to offer a US $100mn...

  • Has the Appetite for Risk Returned? Elamin, Mahmoud; Bednar, William // Economic Trends (07482922);Mar2013, p2 

    The article explores the growth of the issuance of various forms of risky debt, such as corporate debt, asset-backed securities, collateralized debt obligations, in the U.S. in 2012. It notes that such increase occurs as yield spreads for such forms of debt decreased. It mentions that the drop...

  • Fluxo de caixa e análise do posicionamento estratégico. Brasil, Haroldo Guimarães; Fleuriet, Michel // Revista de Economia e Administração;out-dez2003, Vol. 2 Issue 4, p1 

    In this paper we show how to detect some strategic aspects of the firm applying cash flow analysis. We link competitive strategy to financial attributes such as liquidity, cash flow generation, debt policy, and return on capital. We adopt Michael Porter's model as a fundamental reference.

  • Henniges Launches $335M in Loans. Fest, Glen // High Yield Report;5/19/2014, p37 

    The article reports on automotive sealing and anti-vibration systems manufacturer Henniges Automotive Holdings' plan to launch a term loan B and asset-backed revolver in May 2014. Topics discussed include the use of proceeds to refinance debt and fund a distribution to sponsor private equity...

  • An investor's guide to asset-backed extendible notes.  // Asset Securitization Report;5/30/2005, Vol. 5 Issue 21, p18 

    Provides several guidelines for investments in asset-backed extendible notes. Marketability of underlying assets for liquidity; Assessment of the sponsor of the program, the quality of the underlying assets, and the structure of the transaction; Variation in the corporate debt ratings and...

  • Higher-Grade Companies Looking To ABLs. Kellerhals, Richard // High Yield Report;4/27/2009, Vol. 20 Issue 17, p16 

    The article reports on the increase in the number of borderline investment-grade companies that are using asset-backed loans (ABL) to secure financing needed during the recession in the U.S. According to Standard & Poor's, ABL deal volume totaled 4.9 billion U.S. dollars on March 23, 2009. ABL...

  • CDO Quest: Packaging Raw Financial Assets? Gregory, Michael // Private Placement Letter;12/18/2000, Vol. 18 Issue 50, p3 

    Focuses on the target for innovative collateralized debt obligations (CDO) in the United States in 2001. Potential targets; Issues for agencies in rating CDO backed by whole loans; Innovative structuring needed to package the raw loan asset.

  • CDOs Of ABS: Moving The Market. Gregory, Michael // Private Placement Letter;10/09/2000, Vol. 18 Issue 40, p6 

    Focuses on collateralized debt obligations (CDO) of asset-backed securities. Its impact on subordinate bonds; Concerns over the increased use of synthetic exposures in CDO; Purchases made by fund managers.

  • Banks facing 3-day settlement on trades. Seiberg, Jaret // American Banker;12/28/1995, Vol. 160 Issue 249, p3 

    Reports that the Federal Reserve Bank has proposed that banks settle debt and asset-backed security transactions within three days. Proposal published in December 26 issue of `Federal Register'; Record-keeping requirements for banks that buy securities for customers; Details on changes.


Read the Article


Sorry, but this item is not currently available from your library.

Try another library?
Sign out of this library

Other Topics