Asset-Based Loans for
Special Situations

What is an asset-based loan?

Asset-based loans are agreements designed to secure loans through the use of collateral, which typically involves equipment or property owned by the borrower. This form of lending can take the shape of a line of credit or a cash-funded loan. In both scenarios, the borrowed funds are safeguarded by collateral sourced from the borrower’s business assets or properties, such as inventory or accounts receivable.

Providers of asset-based finance display a preference for collateral that holds liquidity and can be readily converted into cash if a loan default arises. Physical assets such as machinery, real estate, or even inventory might be viewed with less enthusiasm by lenders. When considering the extension of an asset-based loan, lenders show a preference for businesses that possess not only robust assets but also well-managed and balanced financial accounts.

What is a special situation? 

No two businesses are the same and that’s why the cookie-cutter approach does not work. We provide a customised approach and creative solutions to secure the necessary resources and position the business for success. A special funding situation requires a deep understanding of the company’s financial landscape, strategic objectives, and available funding options.

A special situation could include:

  • Starting up your business
  • Expanding through acquisition
  • Undergoing rapid expansion but struggling to finance the growth
  • Restructuring and recapitalising their operations
  • Facing challenging trading conditions and needing financial support
  • Unable to increase their funding due to the constraints of their existing lenders

Why choose Hermes Capital?

Hermes has over 10 years’ experience in delivering timely outcomes to SMEs with challenged cashflows or those in outright distress.

Hermes is a managed wholesale investment fund. As such, it can make commercial decisions and act with the speed that is vital in special situations such as small business distress.

Confidential Invoice Discounting

Industry: Mining Services – Equipment Hire

Business Stage: Growth

Funding: $1,250,000


Progress Claim Finance Facility

Industry: Construction – Electrical Contracting

Business Stage: Growth

Funding: $750,000


Let’s Chat

Book in a 15 minute call to learn if we can help you find a funding solution.