Asset backed short term loans is interim financing, secured by additional collateral such as property, for a business, until permanent, the next stage of financing, or the sale of an underlying asset can be obtained. Funds raised from the new financing are generally used to repay the short term loan, as well as other capitalization needs.

These types of bridging facilities are typically more expensive than conventional financing to compensate for the additional risk of the loan. Due to the risk, the facility will have a higher interest rate, fees, additional security, and other costs that are amortized over a shorter period.

Dölberg acts as facilitator and only present transactions with finance companies where we have pre-secured funding lines. The advantage is a quick decision-making process, should the available assets that will be used as collateral be adequate.

Secured loans are only available in South Africa.