1. Tell us the requirement
Start with the amount, purpose and timing. You do not need to choose the correct product first.
Funding decision guide
Asset-Based Lending vs Invoice Finance vs Asset Finance
The key distinction is the asset pool and purpose. Invoice finance addresses eligible unpaid B2B invoices; asset finance commonly funds specific equipment; asset-based lending may combine several eligible business asset pools. There is no universally best route.
Usually takes around 5–8 minutes. An enquiry does not commit you to taking finance.
Access to 250+ funding routes through our lender & specialist partner network.
Compare the asset pools
| Question | Invoice finance | Asset finance | Asset-based lending |
|---|---|---|---|
| Receivables | Core eligible asset pool. | Usually not the primary basis. | May support a revolving component. |
| Inventory | Not ordinarily the invoice-funded asset. | Usually not the principal purpose. | May be assessed for an additional component. |
| Plant and machinery | Not the principal invoice pool. | Common equipment purchase or eligible refinance purpose. | Existing assets may contribute subject to assessment. |
| Commercial property | Not the principal invoice pool. | Usually a separate property route. | May contribute to a combined structure. |
| Size and complexity | Follows eligible ledger and business assessment. | Follows asset, purpose and affordability. | Follows accepted asset pools and combined structure. |
| Typical use | Release cash from completed B2B sales. | Purchase or refinance specific commercial equipment. | Wider working capital, growth, acquisition or refinance. |
| Ongoing or one-off | Often ongoing availability linked to invoices. | Commonly a defined asset transaction. | Can combine revolving and other components. |
Start with what is actually tying up cash
A manufacturer buying one machine has a different requirement from a manufacturer carrying stock and waiting for several customers to pay. The first may point towards asset finance; the second may justify reviewing invoice finance or a wider ABL structure. A wholesale business with invoices as its only material funding constraint may not need the complexity of several asset components.
When a combination may be considered
An acquisition could involve buyer equity, debt, invoice funding and asset or property-backed components. Combining facilities requires review of ownership, security priorities, provider conditions and operational reporting. More components can increase legal work, monitoring and cost; complexity should serve the business need.
Do not add the gross values of invoices, stock and property and assume that total is available to borrow. Eligibility, reserves, valuations, existing debt and security affect availability.
Questions before comparing offers
- What asset or expenditure creates the need?
- How much cash is required at the busiest point in the cycle?
- Will availability fluctuate with invoices, stock or valuations?
- Who manages collections and what reporting is required?
- What are the full fees, security, guarantees and termination terms?
- What happens if turnover falls, a customer disputes payment or an asset loses value?
Useful information to prepare
You do not need every item to start. Tell us the amount, purpose and timing; NBS can explain what would help the next review.
- Amount, purpose and timing
- Debtor ledger and stock information where relevant
- Asset schedule and ownership
- Existing facilities and security
- Accounts, management figures and repayment or cash-flow plan
Important considerations
- A higher headline limit is not necessarily greater usable availability.
- Changing eligible assets can reduce headroom.
- Compare costs, conditions and reporting alongside the amount.
NBS Finance is a commercial finance broker and introducer, not a lender. Providers make funding and credit decisions and set the amount, charges, security and terms. An enquiry or introduction does not guarantee finance.
The NBS enquiry process
2. Review the starting route
NBS reviews the information and identifies an appropriate starting route through its lender and specialist partner network.
3. Provider assessment
A suitable provider may request further information and decide whether to offer terms. Review any offer before committing.
Related funding routes
Frequently asked questions
Is ABL always better for a large requirement?
No. A suitable structure follows the assets, cash flow and purpose. An invoice-finance or loan route may be sufficient.
Can equipment and invoice funding coexist?
A combination may be possible, but security, provider consent, affordability and conditions need review.
Must I diagnose the route before contacting NBS?
No. Start with the requirement. NBS can review which starting route appears most relevant.
Tell us what the business needs
Tell us the amount, purpose and timing. We can review which starting route appears most relevant.
One enquiry. No commitment to take finance. Subject to provider assessment and terms.