The concept underlying asset-backed securities financing (ABS) is simple: Your company’s accounts receivable, which generally result from trade, are sold to a company which has been established solely for this purpose.
This special-purpose entity refinances itself by issuing securities over the international capital market. In turn, your company will receive the respective liquidity as purchase price.
One of the positive effects resulting from ABS financing is the reduction of pressure on existing lines of credit: Your financial scope increases and your business opportunities are extended. Apart from the indirect and anonymous access to the capital market this will enable you to improve your balance-sheet structure with the option of a potential rating upgrade.
ABS Compact - our ABS solution for SMEs
ABS financing is mainly available to large enterprises, and it is still an exception for it to be offered in its traditional form to small and medium-sized companies. In our role as a partner to these enterprises we have therefore developed a slimline ABS solution especially for the SME market, ABS Compact.
By ABS Compact we offer you an attractive securitisation option starting from a current volume of claims of approximately EUR 20 million Euro, thus opening up the advantages of this attractive financing instrument in the form of a package solution.
- Customized ABS software
- Contract documentation (including German translation)
Our Securitisation Team has been successfully active in the structuring of transactions with small- and medium-sized companies since 1999. Talk to us!