

Asset financing is the use of a company's balance sheet assets, including short-term investments, inventories, and accounts receivable, to borrow money or obtain credit. A company that borrows money must provide the lender with a lien in its assets. It is possible to arrange asset financing as a loan or lease to purchase new or used assets. This is a popular option for companies that need to upgrade their equipment or vehicles or expand their real estate portfolio but don't have the money to do so.





