Financial Definitions - Asset Financing
Asset financing is financing that tries to convert certain assets into working cash in return for a security interest in those assets. The asset financing is replacing the term “commercial financing”. Most all major banks team with commercial financing companies in tackling the financial requirements of companies that don’t fit the average “seasonal borrower profile”. Note that the most widely used form of asset financing (still) is to be “loans against accounts receivable”.
Other Entries That Might Interest You:Financial Definitions - Asset Coverage --->Asset coverage usually refers to the net assets of a company ability to pay down (if need be) debts of any kind. These debts can also be market equity positions investments, or perhaps preferred stock items. There is a specific....Financial Definitions - Asset Coverage Part #2 --->Asset coverage calculations can be communicated as a percentage as week. To do this we use the dollar amount of "of coverage per unit" and dividing that number by the units. Notes On Asset Coverage: 1)Asset coverage is critical so....Financial Definitions - Asset --->An asset is anything that has a monetary, commercial or exchange value - this could be in the form of deposits, securities, or property owned by an individual or a business. For personal loans and financing, the banks usually see....Financial Definitions - Asset Liability Management --->Asset liability management the term used by banks and lending institutions when they are considering your loan and financing terms. They weight your personal and/or business debt with you assets. They do this to ensure that their risk on the....Financial Definitions - Asset Allocation (Mutual Funds) --->Asset allocations with mutual funds is asset allocation that changes between bonds, stocks, and money market securities to optimize shareholder returns while minimizing their risk. These mutual funds, have become the main stay these days because they avoid single share....
No comments yet