Should commercial mortgage brokers interested in asset-based lending and factoring target any specific industries?
Any industry can benefit from asset-based lending and factoring. You do see concentrations in transportation and textiles. Historically, there’s a large capital need there, so there’s been a natural extra involvement in those industries. But it’s really a source of funding that’s available to anybody. If companies have cash-flow problems or anything along those lines, this is a natural alternative. What trends are today’s asset-based lenders seeing? Everybody talks about this credit crunch. Among our members, it’s really, “What credit crunch?” With all the constrictions in the cash-flow market, there’s still a need for that capital. That business is being pushed to asset-based lenders and factors. A lot of our members are telling us that this is going to be their best year in a while. As long as there are liquidity problems in the market, our member base is going to benefit because somebody needs to provide that capital. What challenges face today’s asset-based lenders? The challenge i
