Asset Advantage has lent two quite substantial loans to a young company in a short space of time. This is a business proposition that most other funders would reject, or put unnecessarily harsh securities on. Asset Advantage enabled the deal to get done quickly, without costing the client a lot in fees.
The Situation
An experienced nurse with a strong entrepreneurial streak saw the opportunity to acquire a thriving childcare business. Asset Advantage worked to understand the director’s credentials, the business opportunity presented by the nursery, and the director’s personal assets. On balance our underwriting team were happy to approve the proposal.
This led Asset Advantage to lend another substantial amount a few months later for an acquisition of another nursery. This is unusual for most funders, as they would typically wait 12 months before lending to the same customer again. However, because Asset Advantage listen to the proposition, and take a look at the business as a whole, it means we can be more flexible than other funders.
The Funding Solution
Nursery 1 cost £270k, Asset Advantage supplied a loan of £185k, the director put in the remainder.
Nursery 2 cost £100k, the director put in £30k, Asset Advantage supplied a loan of £70k.
The Result
This client has been able to secure finance in a much quicker timescale than would have otherwise been possible, the funding solution we offered also meant the client avoided unnecessary fees for securing the finance. This has led to two childcare settings being established and run in a professional and efficient manner, benefiting hundreds of local children and parents.
If you are looking for funding for your client, contact Katie Dowse today:
