Successful Asset Finance Solution for Yacht Purchase

Asset Finance Solutions Case Study - £450,000 raised

This case study looks at a recent deal where we helped a client raise an asset finance backed loan of £450,000 to help him buy a yacht. The problem was that his initial application to raise a loan for this amount had been rejected, and we were tasked with finding a solution. Here we look at how we approached the task, also demonstrating the flexibility of asset finance as a solution to a funding requirement.

The Details of this Project

We were introduced to this client by the client’s accountant. The client wanted to buy a second hand yacht for £1.1 million and needed a loan of £450,000 to complete the purchase. He had initially talked to his client, who had completed an application to raise the money through a specialist marine mortgage. The application was sent to the two main lenders in that market place, both of whom rejected the application.

Asset Finance was the Solution

The accountant approached us and tasked us to find an alternative way of raising the funds required to make the purchase. With plenty of experience in this area, we were confident that we could help.

At an initial exploratory meeting with the client, we were made aware of the client’s classic car collection – essentially an asset that immediately suggested asset finance to us as the solution to the problem.

We quickly arranged for the collection to be valued by a specialist the collection was valued by a specialist valuer. The outcome was that the collection’s value was more than enough to raise the necessary funds against.

The next task was to recommend a funding provider. Using our experience and knowledge of the market place, we were able to introduce the client to a specialist lender who was prepared to loan the necessary funds against the classic car collection asset on a sale and leaseback arrangement. In addition, the lender did not take security over the yacht.

Contact Us if you need an Asset Finance Solution

This case study demonstrates that asset finance is a broad category that relates to a wide range of valuable assets in a business. An ‘asset’ can be almost anything, in this case a classic car collection, and that asset can be used to finance almost anything, in this case a yacht.

As specialist business finance consultants, our skill lies in matching our clients’ needs to the most appropriate lenders so that the best possible deal is achieved. Contact us or call us on 01675 443878 if you think that asset finance solutions are what you and your business needs.