Lending Against Intangible Assets Gaining Acceptance
Companies have obtained capital through asset based lending (ABL) for years, leveraging assets such as plant, property and equipment in the exchange for cash. Now a new form of ABL is being utilized, lending against intangible assets. Banks are now recognizing intangible assets, especially intellectual property, as valuable assets that can be liquidated if the company cannot pay their debt. This new form of ABL allows companies that do not have valuable tangible assets – s