Asset financing

Unlock liquidity from existing assets

Asset financing helps companies use their tangible assets as a source of financing, without disrupting operations.

At Ernest Partners, we help companies assess the financing potential of their asset base. This can include real estate, equipment, receivables and inventory.

The objective is to improve liquidity, preserve financial flexibility and define a financing structure that fits the company’s asset base, liquidity needs and overall capital structure.

Explore asset financing options

When should you look at asset financing?

Asset financing becomes especially relevant when a company has significant assets, but needs additional liquidity or wants to reduce reliance on traditional corporate financing.

Typical situations include:

the company is preparing for capex projects
additional liquidity is needed
a refinancing situation needs to be addressed
a shareholder transaction requires financing
the company has a significant asset base but limited access to unsecured financing
assets are underused from a financing perspective
pressure on leverage ratios limits financing flexibility

How Ernest Partners can help

Ernest Partners analyses the company as a whole, not only its asset base.

We look at the financial situation, existing debt, business plan, budget, cash flows and current context to understand the broader financing need. Within this analysis, we assess the company’s asset base and identify where financing potential may exist.

This can include real estate, equipment, receivables and inventory.

Based on this assessment, we help identify suitable asset-based financing structures, such as leasing, asset-based lending or sale & leaseback. We support the structuring of the solution, approach relevant lenders or lessors and assist in negotiations.

The goal is to ensure that the financing solution fits the company’s liquidity needs and overall capital structure.

Discuss your asset financing needs

Our approach

We work in three main phases: analysis, pitching and closing.

Analysis

We start with a comprehensive analysis of the company. This includes its financial situation, existing debt, business plan, budget, cash flows and current context.

Within that broader review, we analyse the company’s asset base, including real estate, equipment, receivables and inventory. This allows us to assess the financing potential of existing assets and determine which asset-based financing structures may be relevant.

Based on this analysis, we also prepare the financial materials and financing presentation, including the company’s financial situation, asset base, financing need, key business risks and the actions taken to mitigate them.

Pitching

During the pitching phase, we approach selected lenders or lessors, usually pre-approved by the client, and present the company, its asset base and financing need in a clear and convincing way.

We manage discussions, meetings and Q&A with lenders or lessors. Where relevant, we explore several asset-based financing solutions in parallel.

Closing

We advise the client on the final financing structure and support decision-making.

We assist in aligning terms and conditions with all stakeholders, obtaining credit approval and negotiating financing documentation. We remain involved until the transaction is successfully completed.

What you gain

Asset financing allows companies to make better use of existing assets while preserving financial flexibility.

The main results are:

improved liquidity without increasing unsecured debt

better use of existing assets to optimize financing

a more diversified financing structure

increased financial flexibility

financing solutions aligned with the company’s liquidity needs

a clearer view on the financing potential of the company’s asset base

Why Ernest
Partners?

Ernest Partners works side by side with clients throughout the process, from initial analysis to the final outcome.

Our team combines financial expertise with hands-on experience. We help clients understand their working capital position, identify where improvements are possible and take the right steps to strengthen liquidity.

Get to know us

Equipment renting company

Microlease

Building a detailed financial model and raising €3,1m of senior and subordinated debt to support the company in reaching its ambitious growth plans

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Recyclables trading

Gemini

Securing additional bank relationships in trade finance in Belgium. Support in finding €5m Belgian-based CapEx financing and €15m working capital financing for recycling plant projects in India

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